The Co-operative Bank of Rajkot which is known popularly as Raj Bank has replied point wise to allegations doing the rounds in the media on the issue of money laundering in the wake of demonetization.
Raj bank came under the scrutiny of the Income Tax department for receiving a cash deposit of Rs 871 crore between November 9 and December 30 and several other issues including presence of large number of suspicious accounts.
In a detailed statement Raj Bank says “ More than 1.33 lacs depositors have deposited in their accounts a total of Rs. 800 Crores [Round figures] in the form of SBN notes in the bank during the period and it means an average of Rs.60, 000/- per depositors had been deposited in the bank”, the statement claims.
The above deposits are in tune with the RBI’s Circular dated 08.11.2016 and according to this circular the RBI had given instruction to accord highest priority to the withdrawal of Legal Tender Character of Existing Rs.500/- and Rs.1000/- Bank notes.
The entire situation had been monitored on a day to day basis by the Deputy General Manager of the Bank during the period of Demonetization, it says.
On the issue of withdrawal of Rs.108 crores, the Bank clarifies it had acted as per the instructions issued by the RBI from time to time. The Bank had also adhered to the limit as specified by the RBI from time to time.
As per preliminary analysis made by the bank, approximately 90 accounts had been identified by the bank as Probable Suspicious Transactions, Bank concedes.
All these accounts are under deep scanning right now by the bank’s various officers and within 15 days eligible accounts will finally be reported to FIU-IND New Delhi by way of STR Reports duly approved by the Bank’s Board of directors in their meeting.
According to bank’s point of view an approximate amount of Rs.15 Crores will come under these accounts.
On the issue of revival of dormant accounts, Raj Bank clarifies “During the period of Demonetization bank had activated 3547 dormant accounts after taking required KYC documents from these account holders.
A sum of Rs.18 crores have been credited into 3547 dormant accounts during the period of Demonetization, Raj Bank has conceded.
”Yes, one account holder had deposited a sum of Rs.1 Crore in 30 accounts and the same had been identified by the bank as Suspicious Transaction which will be reported to the FIU-IND New Delhi in due course”, it underlines.
On the issue of a mother of Vice Chairman depositing a sum of Rs.64 lacs by Cash, Raj Bank says it is a false news. “No, the mother of the Vice Chairman had deposited a sum Rs.17/- lacs by cash through her son’s business transaction which she is entitled to. The same account is running with the bank since long”, the statement reads.