21-Aug-2019: Constitution of the Advisory Board for Banking Frauds (ABBF)
The Commission has in consultation with the Reserve Bank of India based on the recommendations of an Expert Committee on NPAs and Frauds constituted under the Chairmanship of Shri YM Malegam by RBI reviewed the matter and has decided to reconstitute the Advisory Board on Bank, Commercial and Financial Frauds (ABBCFF) to be named as Advisory Board for Banking Frauds (ABBF).
Accordingly, the Central Vigilance Commission hereby reconstitutes the Board as below:
- Dr. TM Bhasin, Ex.-CMD, Indian Bank, Ex-Vigilance Commissioner, CVC - Chairman
- Shri Madhusudan Prasad , IAS(Retd.), former Secretary, Mio UD Member
- Shri DK Pathak, IPS (Retd .), former Director General, Border Security Force - Member
- Shri Suresh N. Patel, Ex.MD & CEO, Andhra Bank Member
The tenure of the Chairman/Member would be for a period of two years from 21/08/2019. The other terms and conditions of appointment would be as indicated in Annex. (In case the Chairman I Member designate is holding an office of profit I a regular appointment carrying monthly emoluments with Govt. of India, Govt. of any of the States/Union Territories of India or any other company, society and local authority owned or controlled by Govt. of
India/any of the States/Union Territories of India, as on 21 .08 .2019, his appointment as Chairman/Member of the Board would be considered from the date succeeding the day on which he demits the office/post which he is holding, other than the Chairman I Member of the Board).
The ABBF would function as the first level of examination of all large fraud cases before recommendations/references are made to the investigative agencies, i.e., CBI by the respective PSBs. The Board's jurisdiction would be confined to those cases involving the level of officers of General Manager and above in the Public Sector Banks (PSB) in respect of an
allegation of a fraud in a borrowing account in a PSB. Individual PSBs would refer all large fraud cases above Rs.500 million to the Board and on receipt of its recommendation /advice, the PSB concerned would take further action in such matters.
CBI may also refer any case/matter to the Board where it has any issue/difficulty or in technical matters with the PSB concerned.
In matters which the CBI Suo moto propose to take cognizance by way of PE/RC, the procedure u/s 17A of the PC Act, 1988 [as amended w.e.f. 26.G7.2018, vide S03664(E) dated 26.07.2018] would be followed by CBI and the concerned authorities in the PSBs and, therefore, such matters shall not be referred to the Board.
The Board may also periodically carry out frauds analysis in the financial system and give inputs, if any, for policy formulation related to the frauds, to RBI.
Apart from the above, the Board may also advise on any other technical matter referred to it by the CVC or RBI.
The Board will be headquartered at New Delhi , but the Board may, at its convenience meet anywhere in India. As in the past, the RBI would be providing the required secretarial services, logistics and analytical support along-with the necessary funding to the Board.
The Board will ordinarily, within a month of receipt of the initial reference tender its advice to the PSB/CBI in every matter. The Board would on its own decide on internal procedures for its functions/affairs.
The Board shall keep the Commission/RBI informed about its performance/activities on a quarterly basis.