Rs 40 Crore Deposited In Old Notes In An Axis Bank Branch, Hints At Money Laundering By Bank Officials

The Logical Indian

November 29th, 2016 / 5:01 PM

Source: The Times of India The Hindustan Times | Image Courtesy: The Hindustan Times

Amid the hubbub of demonetization of Rs 500 and Rs 1000 notes, the Income Tax department raided the Kashmere Gate branch of Axis Bank in New Delhi on Friday after two people were held with new notes amounting to Rs 3.5 crore. The person was arrested on 21 November.

The IT Department officials carried out searches at  the bank premises and at the residence of two senior bank officials. It is said to be the largest seizure of unaccounted money since the demonetization announcement.

The IT intelligence is suspecting that more banks might be involved in the money laundering racket and on a much larger scale.

The racket  operated from old Delhi and Laxmi Nagar areas was unearthed when some entry operators and jewellers were found collecting and depositing money in banks. The sources claim that the managers were allegedly paid Rs 40 lakh for under the counter transactions, as reported by The Times of India.

“The two bank officials received old notes worth Rs 30 crore from a hawala operator and converted it to newly minted Rs 500 and Rs 2,000 currency. The bank officials took 30% commission in gold bars,” says IT sources, as reported by The Hindustan Times.

The culprit has an active account with the bank since the last four years. This unaccounted money was deposited in three newly-opened accounts in Axis Bank. The deposits made between November 11 and 22 amounted to Rs 39.26 crore.  This was later transferred out of the bank to other accounts through Real-time Gross Settlement systems (RTGS) and other electronic transfers converting the entire amount to white money.

The bank manager is responsible to ensure that the customer’s account complies with Know Your Customer (KYC) procedures and alert any suspicious transactions to Financial or IT intelligence.

After the interrogation, it was revealed that the bank manager had extended the special counter facility to the accused to deposit banned currency notes beyond banking hours.

The demonetization of Rs 500 and Rs 1,000 notes was to curb a parallel economy running on black money in the country, but ironically people have already figured out loopholes in the system.

 


Contributors

Edited by :

Share your thoughts..

Related Stories

Another Bank Scam: Three Directors Of A Mumbai Company Held For Duping Axis Bank Of Rs 4000 Crore

CBI Arrests Karti Chidambaram At Chennai Airport For INX Money Laundering Case

Axis Bank Ordered To Pay Rs. 10 Lakhs To Customer For Fraudulent Transaction

Central Govt Has Brought A Bill Which Gives Bank Rights Over Your Deposited Money

CBI Special Director Officer

Officer Accused Of Money Laundering Appointed As The New CBI Special Director

CBI Special Director Officer

Officer Accused Of Money Laundering Appointed As The New CBI Special Director

Latest on The Logical Indian

News

Marriage Between Muslim Man & Hindu Woman ‘Irregular’, But Child Born Out Of It Is Legitimate: SC

News

Lucknow-Jaipur IndiGo Flight Returned To Lucknow After “High Vibrations” Mid-Air

Opinion

BJP MLA’s Comment Calling Mayawati “Worse Than A Eunuch” Isn’t New, She Has Faced Worse

My Social Responsibility

To Treat Differently-Abled For Free, This Organisation Set Up A 100-Bed Camp At Kumbh Mela

Awareness

Unpaid Work Done By Women Across The Globe Is 43 Times The Turnover Of Apple: Oxfam Study

News

Delhi: 37-Yr-Old Sanitation Worker Dies While Cleaning Sewer, NHRC Takes Cognisance

x

Stories that deserve attention, delivered to your inbox!

Handpicked, newsworthy stories which deserve the attention of a rational generation.