No fake pay accounts, say HDFC, ICICI
HDFC Bank and ICICI Bank that maintain salary accounts of Satyam employees said they were not holding any ‘fake’ accounts while Citibank declined to comment. Sandeep Singh reports.india Updated: Jan 23, 2009 22:34 IST
HDFC Bank and ICICI Bank that maintain salary accounts of Satyam employees said they were not holding any ‘fake’ accounts while Citibank declined to comment.
The public prosecutor in the Satyam scam case alleged on Thursday that Satyam had as many as 13,000 fake salary accounts. Banks, however, maintained that there have been no irregularities in the know your customer (KYC) procedure and they do not have any fake accounts with them.
“We have no salary account with any other bank,” a Satyam spokesperson said when asked whether there were more banks handling employees’ salaries.
“There has been no irregularity at our end and we have done our due diligence,” said an official with one of the three banks who did not wish to be identified.
There have also been allegations that the money was being transferred from fake accounts to some other account.
“We conducted a random search of all the accounts of Satyam employees and did not witness movement of money from multiple accounts to one account,” said an official from another bank who also did not wish to be named.
“Except for some 40-50 accounts that used to get empty after the salary credit, there has been no unusual use,” he added.
The banks say that they have carried out the physical verification of all the employees before opening the accounts.
When contacted, a Citibank spokesperson said, “We cannot comment on client matters.”