The Finance Ministry on Tuesday directed all public sector banks to examine bad loans above Rs 50 crore and report details to investigative agencies to prevent possible fraud within next 15 days.
The ministry in an official communique has directed the public sector banks to involve investigative agencies to detect any violations.
Department of Financial Services secretary Rajeev Kumar informing the development on Twitter wrote, “PSB MDs directed to detect bank frauds & consequential wilful default in time & refer cases to CBI.
He also added that all public sector banks have been directed to examine Non Performing Assets (NPA) and involve Enforcement Department, Directorate of Revenue Intelligence, Prevention of Money Laundering Act, FEMA and EXIM in case of any violations found.
Kumar further tweeted, “15 day deadline for PSBs to take pre-emptive action & identify gaps/Weaknesses to gear up for rising Ops & Tech risks.”
According to the tweet, senior functionaries will be held accountable for any lapses.
The Finance Ministry directions comes days after Punjab National Bank (PNB) disclosed about the fraudulent transactions above Rs 13,000 crore made by billionaire jweller Nirav Modi.