AU Small Finance Bank Denies Wrongdoing Amid Account Fraud Claims
AU Small Finance Bank, de-empanelled by Haryana for alleged fraudulent account openings, asserts compliance with KYC protocols. The account in question was properly managed and audited. The de-empanelment followed a Rs 590-crore fraud disclosure by IDFC First Bank. AU Small Finance Bank continues its internal review and communication with stakeholders.
- Country:
- India
In the wake of allegations related to fraudulent account openings, AU Small Finance Bank has strongly denied any misconduct after being de-empanelled by the Haryana government from government-related financial operations.
The Haryana government's decision followed disclosures by IDFC First Bank of a Rs 590-crore fraud involving various employees and government accounts. AU Small Finance Bank clarified that the accounts were opened following proper KYC and authorisation processes, maintaining transparency and a thorough audit trail.
The bank maintains it had no financial impact due to the incident and continues to review the situation internally by placing certain employees off duty. Despite the challenges, the bank remains committed to re-establishing its position with the Haryana government and ensuring the security of public funds.
ALSO READ
-
RBI Monitors Rs 590 Crore Fraud at IDFC First Bank Branch
-
RBI Monitors IDFC First Bank Fraud: Rs 590 Crore Scandal
-
IDFC First Bank Faces 20% Stock Plunge Post Fraud Disclosure
-
RBI Monitors Rs 590 Crore Fraud at IDFC First Bank
-
We are watching the development, there is no systemic issue: RBI Guv Sanjay Malhotra on Rs 590 cr fraud at IDFC First Bank.
Google News