Authorities departments haven’t adhered to the Central Vigilance Fee’s recommendation to behave towards corrupt officers in as many as 55 instances, with the Ministry of Railways accounting for 11 such deviations, in line with an official report.
The Small Industries Improvement Financial institution of India (SIDBI), Financial institution of India and Delhi Jal Board have 4 such instances every and the Mahanadi Coalfields Restricted has shielded its staff in three such instances, CVC’s annual report 2021 stated.
Two such instances of non-adherence of the probity watchdog’s recommendation to punish corrupt have been by Indian Abroad Financial institution, Financial institution of Maharashtra, Madras Fertilizers Restricted, Indira Gandhi Nationwide Open College and North Delhi Municipal Company (which is now a part of the unified Municipal Company of Delhi), it stated.
The fee has noticed that in 2021, there have been some vital deviations from its recommendation, the report stated.
“Non-acceptance of the Fee’s recommendation or non-consultation with the Fee vitiates the vigilance course of and weakens the impartiality of the vigilance administration,” it stated.
Giving particulars of 1 such case, the CVC stated whereas working in numerous capacities, the then chief personnel officer amassed an enormous wealth disproportionate to his identified supply of revenue by 138.65 per cent.
“He was discovered accountable for not intimating or not taking permission of the Division as per extant norms about buy of belongings and funding made by him or his spouse and acceptance of present by his relations,” it stated.
“The Fee tendered its first stage recommendation March 7, 2012, for initiation of main penalty proceedings towards the then Chief Personnel Officer. Whereas tendering second stage recommendation, the Fee had suggested imposition of penalty below Railway Service (Pension) Guidelines towards him,” the report stated.
Nevertheless, the disciplinary authority i.e Railway Board (Member Workers) determined to shut the case and dropped the proceedings towards the officer, it stated.
The CVC additionally highlighted a case by SIDBI that resulted in large monetary loss.
Between August 28, 2017, and November 27, 2017, officers working within the financial institution’s treasury and its administration vertical, positioned a complete quantity of Rs 1,000 crore as mounted deposits with two interrelated personal monetary establishments in eight branches, the report stated.
“By inserting the aforesaid quantity as deposits with out acquiring any quotations to check or negotiate the charges of curiosity with the establishments, the officers violated phrases of the Guide of SOP (customary working process) for Treasury Operations of SIDBI,” it stated.
Throughout monetary yr 2018, the officers allowed SIDBI’s deposits to be positioned solely with this specific monetary establishment with out contemplating the opposite accessible choices of deposits, the report stated.
Upon maturity of the tenure of deposits, when the financial institution sought its proceeds, the claims weren’t honoured by the monetary establishments regardless of repeated efforts, it stated.
Consequently, the financial institution is uncovered to an enormous monetary and reputational loss, the report stated.
“The Fee suggested for imposition of main penalty, on two officers concerned within the matter. The disciplinary authority ‘exonerated’ each the officers from prices in deviation from the Fee’s recommendation,” it added.
The CVC additionally cited a case of Financial institution of India associated to fraud in money credit score restrict.
“One of many officers of Financial institution of India allowed the credit score within the present account of the borrower and facilitated the personal firm to divert the fund to different non-lender banks although OCC (open money credit score) account of the corporate is irregular within the department,” it stated.
On request of a non-public firm, Rs 27.9 crore was disbursed below money credit score restrict on varied dates between June 2014 and February 2015, and Rs 4.58 crore was disbursed (below time period mortgage restrict), the report stated.
Subsequently, the borrower firm diverted the working capital funds by means of a non-public sector financial institution the place they have been working their present account.
“The borrower firm additionally diverted the time period mortgage funds to its subsidiary firm by submitting faux/ solid invoices and siphoned off the funds with a malafide intention to cheat the financial institution,” it stated.
The Central Bureau of Investigation (CBI) had probed the matter and sought prosecution towards one of many financial institution’s officers.
The financial institution, nonetheless, denied grant of sanction for prosecution towards its worker, the report stated.
Whereas analyzing instances obtained for recommendation, the fee stated it has famous some severe and vital irregularities and lapses.
These vary from a failure on a part of the disciplinary authority to comply with laid down procedures for session with the CVC and/or Division of Personnel and Coaching in instances of disagreement, to delays in searching for recommendation and lack of information or ignorance of guidelines and rules in conducting disciplinary proceedings, it added.
(Apart from the headline, this story has not been edited by NDTV employees and is revealed from a syndicated feed.)