Rs 14,000 crore PNB fraud: Was misled on Nirav Modi scam, says RBI
Reserve Bank of India admitted to a parliamentary panel that it was fed with incorrect compliance reports in the Rs 14,000 crore Nirav Modi scam. It said in a written response to the Parliamentary Standing Committee on Finance that the blame for the fraud lay on the Punjab National Bank’s Board for allowing the letter of undertaking ( LoU ) scam to continue for years.
The risk management systems in PNB had failed, and the scam was going on for a while in the Brady House branch of PNB the panel was informed. Image source: Reuters