A Delhi Court has issued summons to former Managing Director and Chief Executive Officer (CEO) of Punjab National Bank Usha Ananthasubramanian and 11 other PNB officials in a case related to violations of of the Banking Regulation Act.
Metropolitan Magistrate Dharmender Singh in his March 11 order asked Ananthasubramanian, current Managing Director and CEO Sunil Mehta, former Executive Director R.S. Sangapure and former General Managers Rakesh Kumar and Nehal Ahad, among others, to appear before him on May 24.
The order was made available on Tuesday.
The court was hearing a complaint filed by the Reserve Bank of India, accusing PNB officials of furnishing false and misleading statements to it.
RBI on August 3, 2016, issued a “confidential circular” directing banks to strengthen the controls around the operating environment for fund transfers through SWIFT or similar interfaces. It asked PNB to file a report on the compliance of the circular.
But, PNB allegedly submitted a false compliance report.
In the aftermath of the PNB scam, RBI scrutinised PNB’s Brady House Branch in Mumbai where it found that PNB’s Core Banking System was not integrated with many critical applications and that there was no online integration of SWIFT with Core Banking System.