Press Esc to close
Tuesday 25 April 2017
News updated at 2:05 PM IST

RBI starts scrutiny of three banks

New Delhi, Mar 18, 2013, PTI: 1:55 IST

The Reserve Bank on Monday said it has started a comprehensive scrutiny of head offices and branches of ICICI Bank, HDFC Bank and Axis Bank, which are accused of money laundering and violating regulations like FEMA and KYC.

The scrutiny will be completed by March 31.

“The RBI has initiated the process of carrying out comprehensive scrutinies covering both, Head Office and branches of three private sector banks, namely, ICICI Bank, HDFC Bank and Axis Bank,” the central bank said in a statement.

“The final reports on all the three banks will be completed by March 31, 2013 and thereafter further course of action as necessary will be initiated,” it added.

The three private sector banks were accused of money laundering in a sting operation by online portal, Cobrapost.

“The scrutinies have been initiated after an online media firm on the basis of its sting operations across some branches of these banks alleged money laundering and violation of several provisions of the RBI Regulations,” RBI said.

It further said the allegations also pertain to violation of Foreign Exchange Management Act guidelines, Prevention of Money Laundering Act (PMLA), among others.

The media firm had uploaded some videos on the internet relating to these banks as well as ICICI Prudential Life Insurance and HDFC Life Insurance, RBI added.

Apart from this, the RBI has also undertaken a thematic study in respect of banks that are active in selling gold coins/wealth management products to examine whether there are systemic issues and to plug deficiencies and legal loop-holes, if any, the statement added.

Meanwhile, the three private sector banks, named in the sting operation, have started their own internal investigation. They have also suspended staff concerned pending probe.

Last week, Cobrapost had played the contents of a purported video recording of officials of
the private banks allegedly agreeing to receive unverified sums of cash and put them in their investment schemes.

Go to Top

Photo Gallery
Injured CRPF being brought to Raipur for treatment on Monday follwing a Maoist attack at Burkapal ..

Injured CRPF being brought to Raipur for treatment on Monday follwing a Maoist attack at Burkapal ..

Police in action students who were throwing brick bats on them during clashes in the vicinity of ...

Police in action students who were throwing brick bats on them during clashes in the vicinity of ...

LJP activists take part in a candle light vigil to pray for CRPF jawans lost their lives in a ...

LJP activists take part in a candle light vigil to pray for CRPF jawans lost their lives in a ...

Remains of the iconic Hall of Nations structure at Pragati Maidan in New Delhi on Monday...

Remains of the iconic Hall of Nations structure at Pragati Maidan in New Delhi on Monday...

Cricketer Sachin Tendulkar being greeted by his fans on his 44th birthday at his residence in Mumbai

Cricketer Sachin Tendulkar being greeted by his fans on his 44th birthday at his residence in Mumbai

Girl students pelt stones at security personnel during clashes in the vicinity of Lal Chowk in ...

Girl students pelt stones at security personnel during clashes in the vicinity of Lal Chowk in ...

College girls shout slogans at a protest against the recent police action on students, in Srinagar..

College girls shout slogans at a protest against the recent police action on students, in Srinagar..

Potato farmers holding a protest over their various demands including proper cold storage ...

Potato farmers holding a protest over their various demands including proper cold storage ...

A man holds his head in despair after grains got drenched in rains at a market in Bikaner on ...

A man holds his head in despair after grains got drenched in rains at a market in Bikaner on ...

Woakes jubiliate with his teammates after the dismissal of Stuart Binny

Woakes jubiliate with his teammates after the dismissal of Stuart Binny

Like us on Facebook

Copyright 2017, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523
Powered by Yodasoft Technologies Pvt. Ltd.