In the fiscal year 2019, the amount of malpractices with banks increased by 74 while Frods increased by 15%.

Mumbai, Ta. 25 December 2019, Wednesday

The mismanagement of banks has seen an increase in both the amount and the number in FY08. Compared to fiscal year 1, the amount of malpractices with banks increased by 5 percent while the number of frauds increased by 8 percent.

In FY08, there were 6 cases of malpractice, which increased from 1 to 5. Similarly, the amount of malpractice was increased from Rs 1 crore to Rs 2 crore, a Reserve Bank report said.

Considering that the registration of Frods' case is of late, it may be that the numbers are low. There is a wide gap between the date of the Fraud case and the date it was published.

In the case registered in the financial year 1-3, 3% of the cases were registered with the public sector banks. Of the total amount stuck in the cases, 5% remained in public sector banks. Indicating the lack of a viable system for the risks facing public sector banks. On the other hand, private sector banks accounted for 8% and foreign banks accounted for 8% of the total reported cases. In terms of money, the figure was 8.5 percent and 8.5 percent respectively.

These irregularities were found in excessive loan portfolios. The percentage of Frauds covering more than Rs Crores was 8.5 per cent of the total Frauds.

The Central Government has issued special rules for timely identification, registration and investigation of any malpractice case in public sector banks. It also includes periodic reviews of loan accounts with an amount of over Rs 5 crore.

Comments

Popular posts from this blog

Due to the ban, employment and economic activity declined by two to three percent

Information about soymilk and casein products

The brokerage firm objected to SEBI's new proposal regarding Algo Trading