Centre to come down on erring banks, 400 CDs of sting reach the PM

New Delhi: In an organised crackdown on the banks post-demonetisation, the Centre has conducted sting operations in about 500 bank branches of the country to unearthed many irregularities in the banking sector which threatened to undo the benefits of the historic move of the Modi government.

According to official sources, as many as 400 CDs have reached the Prime Minister Narendra Modi which show nexus of bank officials, police, brokers and fraudulent elements in converting the black money into white.

The pro-active steps by the revenue intelligence have proved that the undoings of some of the banks aggravated the problems of the common people to a great extent. ''The time has come come to take stern actions against the erring bank officials,'' sources said adding '' many of them have already been booked.''

Sting operations on banks:

• The old currency notes of Rs 500 and Rs 1000 which were declared illegal currency on November 8 were exchanged with new currency by several banks in irregular manner.
• The CDs have ample proof of bank officials being involved in converting the black money into white.
• The government has already told the Supreme Court to normalise the situation in 15 days hence the action is planned.

Some bank managers which included two of Axis bank have already been arrested by a crack team. Some more action is in the offing after the sting operation in which the nexus of various groups has come to the fore.

The PM in his latest statement during his speech at Bahraich in Uttar Pradesh made through mobile phone on Sunday, has reiterated that whosoever found involved in the business of black money would not be spared.

Meanwhile , a Delhi court has sent to 7-day remand two managers of Axis Bank, Lucknow. These two managers Vineet Gupta and Shobhit Sinha were arrested in Lucknow by Enforcement Directorate in offence of money laundering.