NewsBytes
    Hindi Tamil Telugu
    More
    In the news
    Mukesh Ambani
    WhatsApp
    Reliance Jio
    OPPO
    Vivo
    Sensex
    Bitcoin
    NewsBytes
    Hindi Tamil Telugu
    NewsBytes
    User Placeholder

    Hi,

    Logout


    India Business World Politics Sports Technology Entertainment Auto Lifestyle Inspirational Career Bengaluru Delhi Mumbai Visual Stories Find Cricket Statistics Phones Reviews Fitness Bands Reviews Speakers Reviews

    Download Android App

    Follow us on
    • Facebook
    • Twitter
    • Linkedin
     
    Home / News / Business News / PNB-scam: CBI arrests three employees, including 'man who revealed fraud'
    Business

    PNB-scam: CBI arrests three employees, including 'man who revealed fraud'

    PNB-scam: CBI arrests three employees, including 'man who revealed fraud'
    Written by Gogona Saikia
    Feb 21, 2018, 02:23 pm 3 min read
    PNB-scam: CBI arrests three employees, including 'man who revealed fraud'

    CBI has arrested three PNB employees including one who, according to their lawyer, was "instrumental" in revealing the Rs. 11,400 fraud. All three worked in PNB's Forex department and were allegedly conspiring to issue fraudulent Letters of Undertaking (LoUs) to Modi, which helped him get loans from foreign bank branches. The key accused, Gokulnath Shetty, said this has been going on since 2008.

    How Modi and his friends cheated PNB of Rs. 11,400cr

    Modi and his associates allegedly embezzled Rs. 11,400cr from PNB on the basis of fake LoUs with the help of bank employees. Based on those documents, Modi got loans from overseas branches of Indian banks. The scam came to light last January, when Modi's companies sought another loan. But by then, the colluding employees had left their positions. PNB then discovered the fraudulent transactions.

    These three employees had important roles to play, CBI says

    According to CBI, Tiwari issued circulars for keeping a check on LoUs sent through the SWIFT system, but didn't take steps to follow up. His "deliberate acts of omission" helped the scam to continue, the agency said. Meanwhile, Joshi didn't submit daily reports on SWIFT transactions during 2015-18. Sawant didn't check whether details of SWIFT transactions were being recorded in PNB's internal system.

    All three accused shift blame to former deputy manager Shetty

    According to the agency, none of the three employees of PNB's Brady House branch in Mumbai are cooperating in investigations and are shifting the entire blame to Shetty. Their lawyer Prassanna Bangale also accused Shetty, saying Joshi "was instrumental in bringing out the case" but he had been arrested. Earlier, CBI had arrested Shetty, another PNB employee Manoj Kharat, and Modi's authorized signatory Hemant Bhat.

    Modi urges employees to 'look for other jobs'

    Meanwhile, Modi, whose current location is unknown, has written to his employees in India, asking them to look for other jobs since he will "not be in a position to pay (their) dues." He attributed it to the "seizure and removal of all stocks...and freezing of bank accounts." He also raised questions on the "fairness of the processes that are being followed."

    Modi now reportedly writing to CBI, ED, MEA

    This is Modi's second communication after the scam broke. Earlier, in a letter to PNB, he had blamed its "anxiety to recover dues immediately" for his failure to repay the loans, which he claimed is much less than the alleged Rs. 11,400cr. Reports say he's also writing to the CBI, ED and MEA. Four FIRs have been filed till now by CBI and ED.

    Share this timeline
    Facebook
    Whatsapp
    Twitter
    Linkedin
    Narendra Modi
    Central Bureau Of Investigation (CBI)
    Punjab National Bank
    Nirav Modi

    Narendra Modi

    Govt. allows commercial coal mining by private-sector, ending Coal-India monopoly India
    HRD wants 'proof' of students watching 'Pariksha Par Charcha' Delhi
    PNB's going public destroyed my ability to repay debt: Modi India
    Mumbai to Pune in 20mins: Hyperloop will make this happen Mumbai

    Central Bureau Of Investigation (CBI)

    PNB-scam: I-T notice to Singhvi's wife for cash-purchases worth crores India
    Rotomac chairman Vikram Kothari arrested for Rs. 800cr loan default India
    Nirav Modi scam reveals deep flaws in India's banking system India
    Nirav Modi case: CBI arrests PNB's ex-Deputy Manager, two others India

    Punjab National Bank

    PNB scam: Nakshatra, Gili 'directors' living in chawls, one-room sets Nirav Modi
    #PNBScam: Will chase down fraudsters, says Jaitley blaming auditors, management Arun Jaitley
    Shiv Sena: Nirav Modi is BJP's "partner," funded their poll-campaign India
    Indian banks may lose Rs. 19,000cr in PNB-fraud: I-T Dept India

    Nirav Modi

    Gitanjali shares fall for third day, investors lose Rs. 300cr Central Bureau Of Investigation (CBI)
    Nirav Modi scam: Massive cover-up by banks, media and govt? India
    PNB fraud case: Govt. revokes Nirav Modi's passport India
    After steep rise, Nirav Modi stares at a sharp downfall India

    Love Business News?

    Subscribe to stay updated.

    Business Thumbnail
    Indian Premier League (IPL) Celebrity Hollywood Bollywood UEFA Champions League Tennis Football Smartphones Cryptocurrency Upcoming Movies Premier League Cricket News Latest automobiles Latest Cars Upcoming Cars Latest Bikes Upcoming Tablets
    About Us Privacy Policy Terms & Conditions Contact Us Ethical Conduct Grievance Redressal News News Archive Topics Archive Download DevBytes Find Cricket Statistics
    Follow us on
    Facebook Twitter Linkedin
    All rights reserved © NewsBytes 2023