Multi-crore deceit not a systemic failure: FM

Terming the alleged multi-crore-rupee fraud detected at Citibank as an act of “individual misdemeanour”, finance minister Pranab Mukherjee on Wednesday said there was no systemic failure and people’s money remained safe in banks.

Terming the alleged multi-crore-rupee fraud detected at Citibank as an act of “individual misdemeanour”, finance minister Pranab Mukherjee on Wednesday said there was no systemic failure and people’s money remained safe in banks.

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“There are regular regulations and all other precautions are being taken,” Mukherjee told reporters outside his North Block office in New Delhi, when asked for his comments on an executive of Citibank being booked for allegedly siphoning off crores of rupees.

“If there be any individual misdemeanour that has to be acted on, law will take its own course of action,” the finance minister added, seeking to assuage people at large who have money deposited in banks. Citibank also assured customers that their money was safe. “This issue does not impact other accounts, transactions or customers of the bank,” a senior official of the bank said.

“He asked customers to deposit the money in those accounts in a scheme to double their money. When the money was deposited, Puri transferred it into his own account,” a police officer said.