Skip to main content

PNB saga: A wonderful excuse being offered by banking experts and financial wizards is, it's a systemic failure

By Mousumi Roy*
Heartiest Congratulations to the Government of India. They have allowed the second billionaire who has done the biggest fraud of India to leave the country. Where are those who are charged with the responsibility of keeping an eye on the financial institutions in the country, like the revenue intelligence wings in Banks, RBI, ED and others?
Why the Government of the day did not act on the basis of complaints sent by certain individuals or in some case even by Director of Allahabad Bank? When the RBI conducts its audit of the Bank finances how could they not detect it? Scam after scam no one knows what happened, why it happened and how to plug it?
No learning, no analysis and also no one to blame except the invisible and dumb system. What a sad state of inequality, fraud and nepotism in one of the largest sham democracies in the world which is being looted by just 100 odd billionaires and politicians on a daily basis while hundreds of millions have no food, no toilet, no healthcare access, no electricity and no water and millions eat from garbage across India. But some billionaires can spend a billion dollars on a house or millions of dollars on a party in one evening.
Like Vijay Malaya in London, Nirav Modi will be sitting in a nice Swiss Chalet enjoying some fine wines while the losers called the tax payers of India enjoy the bullshit media news stories and get robbed every single day by the politician-businessman-banker-police nexus. And enjoy sending Whats app videos all day long else the Gods will be angry on them and not give them money while the billionaires on Earth rob them dry.
The super elite who control this world will continue to do whatever it takes to protect their own assets. No one cares about the masses and the while world is in a doom and gloom scenario from corruption scandals, to money printing to massive job cuts. There may be many such cases yet to come to light. Example of Crony capitalism.
All LOUs issued by any bank in India has to be reported to RBI on a quarterly basis. Why is it that when the first LOU was issued way back in 2011, without entering into the CBS, it was ignored by RBI and the PNB top management despite the amounts being so huge. How were the LOU’s honored by the other banks if they were not through CBS and no record of these LOU’s was present in the Banks ledgers.
Where these LOU’s issued without any reference number or authorized signature or on plain paper as a hand written note and hence without any printed record? When these LOU’s were presented by the fraudsters to the other banks abroad did they not raise demands from PNB after the payments were made by them?
When an LOU is issued by one bank to another, the receiving bank sends a letter of confirmation to the issuing branch and it’s controlling office like Regional or Zonal office. Did Axis Bank and Allahabad Bank do so. If so, then why didn’t anyone in the PNB controlling office raise an alarm. Apart from PNB, the other organization who should be answering a lot of questions in this matter is the RBI…
PMO refused to a RTI petition to inform who are all accompanied PM during his abroad trips. A complaint petition was filed with PMO to look in to the irregularities in PNB as early as July 2016 and why no action was taken by RBI and FM. Nirav Modi’s brother is married to Mukesh Ambani’s niece. Any explanation? The CBI received a complaint from PNB on January 29 and a case against Modi was registered on January 31.
However, by the first week on January, Nirav Modi and his family had already fled the country. His brother, Nishal, a Belgian citizen who is married to the daughter of Mukesh Ambani’s sister, left India on January 1. Modi’s wife, Ami, a US citizen, and business partner, Mehul Choksi of Gitanjali Gems, fled on January 6. 
What has happened to Robert Vadra-DLF investigation? Where is Lalit Modi? Where is Vijay Mallaya? To top it all now we find the father of big scam Massive PNB scam which is to the tune of 110000 crores and it also involves major Public sector banks. What is Rafale deal?
Whenever a SWIFT message is sent it is verified checked and authorised at various checkpoints by personnel in various capacity and heirarchy. Why no one from the forex dept of PNB raised an alarm. This seems more like a top level collaboration than a branch level fraud. Whenever such huge amounts are sent through SWIFT, bypassing CBS, it generates daily reports.
Were the concurrent auditors of PNB sleeping for seven years that they could not go through these daily reports. While the PNB management would like us to believe that the whole fraud has been committed by a DGM rank officer or few officials of the bank and the vigilant Directors were able to unearth this fraud now.
How the taxpayers' money has been swindled so blatantly, why these same banks have been recapitalized Rs 80,000 crore once again without any recovery of earlier NPA? What is the social structure? Why in spite of so much of warning Aadhar is blatantly imposed on gullible citizens of the country? PNB and government are so broke that they have now decided to sell almost all real estate owned by PNB. This fraud is moving and spreading rapidly.
The fatcat billionaires of India have “loans” in thousands of crores each that they have siphoned off into their own pockets and nicely run away in connivance with the ruling Govt while average loan of farmers is just 200,000 EACH ($3,125) and 3,000 – 4,000 farmers commit suicide every year.
The political parties on every media channel and even in press have drowned the debate by blame game and rhetoric so that no one can get to the truth. It’s high time to question crony capitalism which has engulfed us in lust of greed and money power? Let us think, or we are beyond repairs? Four of India’s top jewelers are involved in the largest ever fraud in India’s history. Gitanjali Gems (Mehul Choksi),Ginni (Choksi subsidiary), Nakshatra jewelers (Choksi subsidiary),Firestar Diamond (Nirav Modi and his wife and his brother),
All put together they have siphoned off $1.8 billion of tax payer money from India’s banking system. This is the largest ever scam in India. The wonderful excuse being offered by the banking experts, financial wizards and even bureaucrats is that it is a “systemic failure”. So now we are left to curse the system and let go of these worthies because they are innocent and the bad system is at fault.
---
*Freelance journalist. Source: https://countercurrents.org/

Comments

TRENDING

Church in India 'seems to have lost' moral compass of unequivocal support to the poor

By Fr Cedric Prakash SJ*
In 2017, Pope Francis dedicated a special day, to be observed by the Universal Church, every year, as the ‘World Day of the Poor’. This year it will be observed on November 17 on the theme ‘The hope of the poor shall not perish for ever’; in a message for the day Pope Francis says:

Hindutva founders 'borrowed' Nazi, fascist idea of one flag, one leader, one ideology

By Shamsul Islam*
With the unleashing of the reign of terror by the RSS/BJP rulers against working-class, peasant organizations, women organizations, student movements, intellectuals, writers, poets and progressive social/political activists, India also witnessed a series of resistance programmes organized by the pro-people cultural organizations in different parts of the country. My address in some of these programmes is reproduced here... 
***  Before sharing my views on the tasks of artists-writers-intellectuals in the times of fascism, let me briefly define fascism and how it is different from totalitarianism. Totalitarianism is political concept, a dictatorship of an individual, family or group which prohibits opposition in any form, and exercises an extremely high degree of control over public and private life. It is also described as authoritarianism.
Whereas fascism, while retaining all these repressive characteristics, also believes in god-ordained superiority of race, cultur…

As fear 'grips' right liberals, Arvind Panagariya, too, would be declared anti-national?

By Rajiv Shah
It is surely well-known by now that India's top people in the power-that-be have been castigating all those who disagree with them as "anti-nationals". Nothing unusual. If till yesterday only "secular liberals", and "left-liberals" were declared anti-national, facts, however, appear to have begun surfacing that, now, guns are being trained against those who could be qualified as right liberals, too. Let me be specific.

There may have been Buddhist stupa at Babri site during Gupta period: Archeologist

By Rajiv Shah
A top-notch archeologist, Prof Supriya Varma, who served as an observer during the excavation of the Babri Masjid site in early 2000s along with another archeologist, Jaya Menon, has controversially stated that not only was there "no temple under the Babri Masjid”, if one goes “beyond” the 12th century to 4th to 6th century, i.e. the Gupta period, “there seems to be a Buddhist stupa.”

'First time' since 1970s poverty up 10%, consumer spending down 4%: GoI survey

By Our Representative
In what may prove to be a major embarrassment for the Government of India (GoI), a new official survey, carried out in 207-18, has reportedly said that average consumer spending in India fell by more than 4% the previous six years "primarily driven by slackening rural demand." The survey, "Key Indicators: Household Consumer Expenditure in India”, carried out by the National Statistical Office (NSO), says that money spent per person in a month fell by 3.7% from Rs 1,501 in 2011-12 to Rs 1,446 in 2017-18.

National award winning film 'Hellaro' co-produced by three chartered accountants

By Our Representative
“Hellaro”, a Gujarati feature film produced by Saarthi Productions in association with Harfanmaula Films (Ahmedabad) was declared as the Best Feature Film at the National Film Awards which was conferred by the Government of India. The film also won the Special Jury Award for the Best Actress to all the 13 actresses of the film.
Ashish Patel produced the movie, which has been co-produced three co-producers, Aayush Patel, Prateek Gupta and Mit Jani, all of whom, interestingly, started their filmmaking journey after becoming Chartered Accountants in 2012.
“Hellaro” is directed by Abhishek Shah, who has been working in Gujarati theatre since the past 17 years as writer, director and actor and has received numerous awards for his plays. He has also worked as a casting director for 12 films.
“Hellaro” is a period drama based in Kutch and has been co-written by Abhishek Shah and Prateek Gupta. Gupta previously received the Best Debut Director Award, along with Mit Jan…

Rushdie, Pamuk, 260 writers tell Modi: Aatish episode casts chill on public discourse

Counterview Desk
As many as 260 writers, journalists, artists, academics and activists across the world, including Salman Rushdie, British Indian novelist, Orhan Pamuk, Turkish novelist and recipient of the 2006 Nobel Prize in literature, and Margaret Atwood, Canadian poet and novelist, have called upon Prime Minister Narendra Modi to review the decision to strip British Indian writer Aatish Taseer of his overseas Indian citizenship.