Bank employees cry foul over drafts given to Trinamool

Kolkata: A bank employees’ group Monday alleged that officials of two public sector banks were spreading ‘misinformation’ to justify their decision of illegally issuing drafts to the Trinamool Congress. The group alleged that while issuing the drafts last month the banks violated the Reserve Bank of India (RBI) guidelines because of political pressure. ‘The United Bank of India (UBI) and the Allahabad Bank chiefs have stated deliberate misinformation to confuse and mislead the public regarding issuance of bank drafts to Trinamool Congress,’ Bank Employees Federation of India (BEFI) general secretary Pradip Biswas told reporters here. ‘As a responsible organisation of bank employees, we are clarifying the position,’ he said. He said a city branch of the UBI issued 20 bank drafts, each of Rs.49,500, to the Trinamool Congress April 12 and the sole beneficiary of these drafts was M Power Global Access India Private Limited. One branch of the Allahabad Bank in Kolkata issued a total of 11 drafts, 10 drafts each of Rs.49,000 and one of Rs.10,000, to the Trinamool Congress April 13,’ he said. ‘It is understood that the banks had intentionally structured the transactions. This is gross violation of RBI’s Master Circulars issued July 1, 2010. We have come to know that initially the concerned employees of the banks refused to do so, but because of pressure from the higher authorities they allowed the transactions,’ Biswas said. Allahabad Bank chairman and managing director J.P. Dua in a press conference in Kolkata May 2 said no irregularities had taken place in issuing the demand drafts to the Trinamool Congress. ‘No irregularity has taken place. We have followed the rules and regulations,’ he said.

Sharad Pawar sore, others welcome change in Maharashtra bank

Mumbai, May 7 (IANS) The Reserve Bank of India’s (RBI) move to recommend supersession of the board of directors of the Maharashtra State Cooperative (MSC) Bank Saturday evoked mixed reactions from state politicians. Union Agriculture Minister Sharad Pawar expressed displeasure over the RBI move, saying it should have consulted the bank authorities before superseding the bank’s board of directors. ‘The RBI should have discussed the issue with the bank board before taking any steps,’ Pawar told reporters in Pune, some 160 km from here. To a question, Pawar denied that there were any financial irregularities in the MSC Bank. His nephew and state Deputy Chief Minister Ajit Pawar is on the board of directors. On the other hand, Chief Minister Prithviraj Chavan assured the peiople that strict action would be taken against anybody found guilty of irregularities in the bank. The bank had been served several warnings before the action was initiated and the depositors need not worry about their deposits with the bank, Chavan said Saturday afternoon in Satara, some 250 km from here. He said that the bank’s position would improve after the new developments and dismissed contentions that there was politics behind the move to supersede the board. Swabhimani Paksha MP from Hatkanangle in Kolhapur Raju Shetti welcomed the RBI move to supersede the bank board. Shetty alleged that the bank was exploited by various political parties to further their own interests over the past many years.  Despite many complaints about the irregularities plaguing the bank, the state government failed to take any action, he said. ‘The government should probe the bank’s affairs and bring out a white paper on its finances. Those found guilty should be put behind bars,’ Shetti demanded.The MSC Bank’s board comprises leaders and legislators from different parties including Ajit Pawar, Diliprao Deshmukh, Anandrao Adsul, Diliprao Sopal, Minakshi Patil, Rajni A. Patil, Pandurang Phundkar, Vijaysinh Mohite-Patil, Rajan Telli, Vijay N. Vadettiwar, Yashwantrao Gadakh and others.