Banking News

Bank of Baroda yet to complete forensic audit on mobile app fraud: Official


Leading public sector lender Bank of Baroda is yet to complete the forensic audit into the recent graft allegations against some of its key employees of its mobile app Bobworld, a senior bank official said on Thursday. “We are still working on the forensic audit as the central bank is still doing some more due diligence on the app Bobworld,” Joydeep Dutta Roy, an Executive Director of the bank, told reporters on the sidelines of the two-day national banking summit organised by IBA and Ficci.

On October 10, the Reserve Bank of India (RBI) banned the lender from on-boarding new customers on its mobile app after finding certain material supervisory concerns.

“The Reserve Bank has directed Bank of Baroda to suspend, with immediate effect, any further onboarding of their customers on to the Bobworld mobile application,” the central bank had said in a statement.

The action, the RBI had said was based on certain material supervisory concerns observed in the manner of onboarding of their customers onto this mobile application.

In the wake of the RBI directions, the state-owned lender later said it terminated the services of its chief digital officer Akhil Handa.

“We have taken action on a large set of people on the field. As far as the former chief digital officer Akhil Handa is concerned, it is a cessation of service induced by the bank and that is a termination,” the bank’s Managing Director and CEO Debadatta Chand had said on November 5. Meanwhile, on the digital currency CBDC, Roy said it already has 2.5 lakh users, and the target is to on board 10 lakh by the end of the current fiscal.

“We already have 2.5 lakh CBDC customers and our target is to take this to 10 lakh by end-March. Our optimism comes from two aspects. One, now we are allowed to on board a person even if she is not our banking customer. Secondly, earlier daily transactions were just a few but now it’s more than 2,000 per day,” he said.


Source link