FinMin wants CBI to fast-track BoB fraud case

“It’s a matter of investigation and it is a few unscrupulous people who have managed to beat the system”, Jaitley said when asked if he expects involvement of more banks in this issue.

CBI’s FIR has alleged that “59 current account holders and unknown bank officials conspired to send overseas remittances, mostly to Hong Kong, of foreign exchange worth approximately Rs 6,000 crore in illegal and irregular manner in violation of established banking norms under the garb of payments towards suspected non-existent imports”.

Garg was AGM while Dubey headed the foreign exchange division at BoB’s branch in Ashok Vihar.

Mumbai: HDFC Bank Ltd on Wednesday suspended an employee being investigated by the Enforcement Directorate (ED) in connection with irregularities in foreign exchange transactions at Bank of Baroda.

The money was remitted by 59 companies through their newly-opened current accounts at the bank’s Ashok Vihar branch.

The arrests were made in a case in which, between 1 August 2014, when the irregular remittances to foreign accounts first began, till 31 July this year, an amount of Rs.6,172.92 crore was transferred, as Mint reported on Monday. ED has arrested four accused in connection with the case and they are presently in police custody till October 17.

Finance Minister Arun Jaitley today said the magnitude of the alleged black money transfer through state-owned Bank of Baroda (BoB) will only be known after completion of the multi-disciplinary probe. “The Bank is also extending its full cooperation and support to the authorities as they conduct their investigations”.

The appointment of Jayakumar and Venkatesan comes as a government policy to overhaul public sector banks by bringing in private sector executives.

Both of the officials were picked up after detailed questioning, they said.