RBI slaps Rs 2.50 cr fine on BoB for violating directions on Bihar NGO

Bank of Baroda on Tuesday said RBI has imposed Rs 2.50 crore fine for n-compliance of directions issued to it with regard to Bihar-based NGO Srijan Mahila Vikas Sahyog Samiti Ltd.

RE | RBI Should Be Given Full Power To Regulate Co-op Banks: Mara

RBI imposes fine on Bank of Baroda

" Reserve Bank of India in exercise of powers conferred under Banking Regulation Act, 1949, has imposed a penalty aggregating to Rs 2.50 crore on bank for n-compliance with directions issued by RBI in various accounts of Srijan Mahila Vikas Sahyog Samiti Ltd at Bhagalpur Branch," Bank of Baroda said in a regulatory filing.

RE | 'RBI To Cut Rates By 40 Bps By Feb Despite High Inflation'

Central Bureau of Investigation (CBI) is probing matter in Rs 1,000 crore scam allegedly involving Bihar-based NGO Srijan Mahila Vikas Sahyog Samiti and government officers. Unidentified officers of Bank of Baroda, Indian Bank and 'Samiti' have been named as accused in FIRs registered for alleged criminal conspiracy, cheating, forgery among ors. Besides, FIRs have also been registered in Patna and Delhi. It is alleged that re was illegal transfer and misuse of funds from government accounts in Bhagalpur district to accounts of Samiti through a conspiracy hatched between government officials and office bearers of NGO.

RE: PMC Depositors Gar Outside RBI Delhi, Demand Assurance

It is alleged that NGO, which was working towards imparting training to women, h pilfered government funds in connivance with bank officials and state government officials between 2003 and 2014. As per initial probe by local police, Samiti allegedly procured cheque books from banks and forged signature of district magistrate to transfer government funds to its account.

RE | PMC Bank Scam: RBI Extends Withdrawals To Rs 50,000; Protest Continues