Not collecting receipts for a Rs. 180 crore deposit for 20 days proved costly for a government department, which is now being investigated by the Central Bureau of Investigation for alleged lapses. Also, under investigation is state-run Oriental Bank of Commerce, one of India's 19 nationalized banks, which accepted the fixed deposit but did not issue receipts.
The fraud took place at one of the lender's Mumbai branch. The branch manager, who was not even authorised to accept such a large deposit, is now behind bars, while Oriental Bank is facing a forensic audit initiated by the finance ministry.
Shares in Oriental Bank of Commerce fell over 5 per cent today. The STOCK
was the top loser in the PSU banking sub-index on the National Stock ExchangeShares in Oriental Bank of Commerce fell over 5 per cent today. The STOCK
was the top loser in the PSU banking sub-index on the National Stock Exchange.
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