Trade union leaders in the banking sector have asked FM Arun Jaitley to fix the accountability of heads of public sector banks to stem the rise in non-performing assets (NPAs) as is done in the case of Urban Cooperative Banks, quotes Times of India.
Central Bank Employees Union general secretary Subhash Sawant said that whenever a case crops up in urban cooperative bank its Directors come under the scanner but the same does not happen in the case of Public Sector Banks.
When a fraud was detected in the Pen Urban Cooperative Bank in the neighbouring Raigad district, its directors were arrested by the law-enforcing agencies. But that never happens with the heads of the nationalized banks, as they have protection, Sawant said.
“We had successfully exposed the dubious role of a head of a nationalized bank in Mumbai. It was established by the competent authority that he was involved in rampant irregularities. But absolutely no action was taken against him – a letter of displeasure was issued to him. We were told that in the absence of specific rules, it was not possible for the Centre to take criminal action against him,” Sawant said.
