Tuesday, August 7, 2012

CBI developing database to curb banking frauds

http://www.thehindubusinessline.com/industry-and-economy/banking/article3738280.ece

CBI is developing a database of bank fraudsters to check cheating cases which have resulted in loss of nearly Rs 3,799 crore during 2010-11, an increase of 88 per cent as compared to the previous year, agency chief A P Singh said here today.
The CBI chief also said that the agency would now probe only those bank fraud cases where loss is more than Rs 3 crore while those below it would be investigated by the state police.
“Banks lost Rs 2017 crore due to frauds in 2009-10. This has seen a quantum jump in 2010-11, with the loss amount rising to Rs 3,799 crore,” he told the annual conference of Chief Vigilance Officers of public sector banks and financial institutions.
“While CBI’s Bank Securities and Fraud Cell registered criminal cases involving Rs 4,000 crore in 2011, cases regarding frauds worth Rs 2,500 crore have already been registered from January to July this year,” he said.
Singh said CBI is developing a ‘Bank Case Information System’ (BCIS) which contains names of accused persons, borrowers and public servants in its records.
“This information may also be made accessible to field functionaries of the banking sector in collaboration with the Indian Bank Association (IBA), once modalities are worked out,” he said.


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