The Central Bureau of Investigation has filed a charge-sheet in the Court of Special Judge, Rohini Courts, New Delhi, against then AGM & Branch Head and then Forex Officer, both working in Bank of Baroda, Ashok Vihar Branch, New Delhi U/s 120-B r/w 420, 409 of IPC and Section 13(2) r/w 13(1)(d) of PC Act, 1988 & substantive offences thereof for alleged violation of banking norms in overseas remittance of foreign exchange.
The investigation revealed that both the accused had abused their official position and in conspiracy with each other & with the said account holders had allegedly cheated and misappropriated the bank funds to the tune of Rs. 13.75 crores (approx), thereby causing alleged loss to Bank of Baroda. Investigation also revealed that the accounts were allegedly opened either in fictitious names or in the names of persons who were employed in different companies. Forged & fake identity papers like PAN Cards, Voters ID cards etc. were allegedly used for opening the accounts in fictitious names.
It may be recalled that a case was registered by CBI U/s 120-B r/w 420 of IPC and Section 13(2) r/w 13(1)(d) of Prevention of Corruption Act, 1988 against 59 current account holders and unknown bank officials & private persons on a complaint from Bank of Baroda. It was alleged that 59 current account holders and unknown bank officials conspired to send overseas remittances, mostly to Hong Kong, of Foreign Exchange worth approximately Rs.6000/- crore in illegal & irregular manner in violation of established banking norms under the garb of payments towards suspected non-existent imports. Searches were conducted at around 53 locations including Bank of Baroda, Ashok Vihar Branch, Delhi; various companies/firms and other accused persons.
It was also alleged that the amount remitted in each transaction would be kept at less than USD 100,000. All the remittances were made to Hong Kong. The amount was remitted as advance for import and in most of the cases, the beneficiary was the same. Most of the foreign exchange related transactions were carried out in newly opened current accounts wherein heavy cash receipts were observed but the branch did not generate Exceptional Transaction Report (ETR) and did not monitor the high value transactions.
During course of investigation, CBI had arrested the said Assistant General Manager and another officer (Foreign Exchange), both working in the Bank of Baroda, Ashok Vihar Branch, New Delhi on 13.10.2015 for their alleged involvement in facilitating the foreign remittances by violating the laid down procedures/guidelines of Bank of Baroda and thereby facilitating the accused persons in money laundering.
After thorough investigation, CBI filed a charge sheet against the two then officers of Bank of Baroda.
Further investigation is continuing with reference to the role of other bank officials as well as alleged 59 account holders and private persons.
The public is reminded that the above findings are based on investigation done by CBI and evidences collected by it. Under the Indian Law, the accused are presumed to be innocent till their guilt is finally establish after a fair trial.