Central Vigilance Commission reconstitutes advisory board on bank frauds

Source: The post is based on the article “Central Vigilance Commission reconstitutes advisory board on bank frauds”  published in The Hindu Business Line on 21st August 2023.

What is the News?

The Central Vigilance Commission(CVC) has reconstituted the advisory board on Banking and Financial Frauds (ABBFF).

What is the Advisory board on Banking and Financial Frauds(ABBFF)?

Constituted by: Central Vigilance Commission(CVC)

Purpose: To conduct the first level examination of bank frauds before recommendations or references are made to investigative agencies such as the Central Bureau of Investigation (CBI).

Composition: It consists of the Chairman and four other members and the tenure of the Chairman/ Members would be for two years.

Functions of the board: To examine the role of officials/ wholetime directors (including ex-officials/ ex-wholetime directors) in public sector banks, public sector insurance companies; and public sector financial institutions in case of frauds amounting to ₹ 3 crore and above.

– To periodically carry out frauds analysis in the financial system and give inputs, if any, for policy formulation related to the frauds, to RBI and CVC.

– CVC or CBI may also refer any case/technical matter to the ABBFF for its advice.

– To provide advice within a month of receiving initial references from the Ministry, Department, CVC, or investigative agencies.

Headquarters: New Delhi