According to a report, according to the bank’s MD and CEO Debdutt Chand, action has been taken on a large scale against many people in the bank. He said on (former) CDO Akhil Handa that his contract has been terminated.
New Delhi Major government Bank of Baroda has taken a major action against its employees and dismissed the Chief Digital Officer (CDO). The bank has taken this action after RBI found shortcomings in its mobile app BoB World.
According to a report, according to the bank’s MD and CEO Debdutt Chand, action has been taken on a large scale against many people in the bank. He said on (former) CDO Akhil Handa that his contract has been terminated.
However, Handa has said that he has resigned and not been dismissed. Many problems were found in Bank of Baroda’s Bob World app, after which RBI also imposed restrictions on it.
What was the ban?
Last month, RBI had stopped Bank of Baroda from adding new customers through its mobile application. RBI had said that this step has been taken due to concerns related to the way the bank has added a large number of customers through its digital platform.
More than 50 employees suspended
Earlier, Bank of Baroda had suspended more than 50 of its employees in the Bob World App case, which included Assistant General Manager level officers. According to a report, employees were suspended to increase the number of bank app users.
Action taken even against Assistant General Manager
Bank of Baroda had suspended more than 50 employees, including assistant general managers, in a crackdown on irregularities in customer onboarding for its mobile banking app, Bob World.
Bank of Baroda made improvements
RBI had also directed Bank of Baroda to ensure that already connected ‘BoB World’ customers do not face any problem.
Subsequently, in a statement, BoB had said that it has already taken corrective measures to address RBI’s concerns. Further steps have also been taken to remove the remaining shortcomings.
What was found wrong
According to Debdutt Chand, RBI’s concerns were largely related to the customer onboarding process through the app. Besides wrong data being fed, irregularities were also found in obtaining the documents.
Fine was imposed in February
Earlier in February, the Reserve Bank of India had imposed a fine of Rs 30 lakh on Bank of Baroda for not following regulatory rules in the matter of KYC and interest rates on deposits.
Financial results were better
Bank of Baroda posts 28.4% year-on-year rise in profit at Rs 4,253 crore in September quarter. The total income of the bank increased by 39% year on year to Rs 32,033 crore.
Net interest income (NII) increased by 6.5% year-on-year to Rs 10,831 crore. Similarly, non-interest income more than doubled to Rs 4,171 crore.
