HindustanTimes Sun,21 Dec 2014

15 LIC, bank staff suspended

HTCorrespondent, Hindustan Times  New Delhi, May 07, 2013
First Published: 21:06 IST(7/5/2013) | Last Updated: 21:57 IST(7/5/2013)

A day after investigative website Cobrapost’s exposé alleged widespread money laundering operations among banks and insurance companies, several banks and the Life Insurance Corporation (LIC) announced the suspension of 15 employees, some of them senior officials.


Apart from this, 10 officers at different banks have been divested of work, and six have been asked to proceed on leave while enquiries are on, the finance ministry said in a statement on Tuesday.

The government promised more action in the next few days.

According to the statement, chiefs of public sector banks and LIC have been directed to take immediate action and submit detailed reports.

While a few public sector banks have already taken action, others are still in the process.

“The government has taken up the issue with all banks and LIC and they have been asked to do a thorough scrutiny and submit reports,” a senior government official who did not wish to be identified, said.

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