Indian Overseas Bank chairman today said that no instances of money laundering or Know Your Customer (KYC) norms violations have been found within our bank.
M Narendra, Chairman and Managing Director, Indian Overseas Bank said, “We have been inquiring two lower level officers who have been identified in this accusation (Cobrapost). However, no such instances have occurred as claimed by Cobrapost.”
In its second expose, online magazine Cobrapost has claimed 23 banks, both private and public, and insurance companies of money laundering and KYC norms violations.
These banks include State Bank of India, Bank of Baroda, Punjab National Bank, Canara Bank, Indian Bank, Indian Overseas Bank, IDBI Bank, Oriental Bank of Commerce, Dena Bank, Corporation Bank, Allahabad Bank and Central Bank of India among others.
On what action the bank plans to take, the IOB chief said, “Action can be taken once we identify any wrongdoings. Moreover, after this, we will reiterate the same guidelines across the bank branches.”
“Also, we do not offer any incentives such as insurance or gold products to sell. So, no fake account opening has taken place,” Narendra said.
Private sector banks alleged in the investigation include Yes Bank, Dhanlaxmi Bank, Federal Bank, DCB Bank, HDFC Bank, ICICI Bank and Axis Bank.
The insurance firms including state-owned LIC of India, Reliance Life Insurance and Birla Sunlife, and Tata AIG have also been named.