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Fraud fallout: PNB tightens norms, to separate loan appraisal and monitoring teams

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By Rohit Vaid
New Delhi, April 13 (IANS) To avert any future fraud, the 124-year-old state-run lender Punjab National Bank said that it has strengthened internal audit controls by having separate “pre-sanction appraisal and post sanction monitoring” teams for credit disbursal.

Besides, the lending major told IANS that it will look on a quarterly basis on whatever internal accruals can be generated — through recovery, more efficient risk management, more business generation and more cross selling.

“We have strengthened our process of underwriting of credit to wean out any possibility of fraudulent behavior and ensure a fair evaluation,” a senior official of the bank told IANS on the sidelines of PNB’s 124th Foundation Day held on April 12.

“The process has been divided into four components with different employees focused on — sourcing appraisal, processing and underwriting documentation and disbursement recovery.”

These new developments are part of the bank’s “Mission Parivartan” under which an independent think-tank has been set-up within the company to provide “both directional and policy inputs”.

Recently, the bank has faced a multi-billion fraud related to the Nirav Modi and Gitanjali Diamonds group.

According to the bank, its Board has also approved revamping of the process and given higher weightage to the off-site monitoring mechanism.

“The analysis from the off-site monitoring mechanism will reduce dependence on physical inspection and audit to identify risks and the detachment between the front office and off-line monitoring system will drive greater transparency in reporting,” the senior official said.

In addition, the state-run lender has decided to deploy Artificial Intelligence (AI) for reconciliation of accounts for technology interventions to counter the repeat of recent fraud.

On the problem of non-performing assets (NPAs), the bank has decided to form a separate “vertical to deal with its stressed assets”.

In terms of new products and services, the state-run bank on its foundation day informed about several new initiatives like “pre-approved credit card” which are issued on a customer request through SMS and PNB’s UPI partnership with the “Walnut App”.

“In the next 100 years, I believe that PNB has an opportunity to reach even more people especially those without financial access and continue to empower MSMEs and countless businesses to realise their true potential,” said Sunil Mehta, MD & CEO, Punjab National Bank.

(Rohit Vaid can be contacted at [email protected])

–IANS
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Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma

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World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.

Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.

During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.

On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”

Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.

It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.

Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.

Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”

On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”

The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.

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