The CBI has set up a working group to coordinate with various financial institutions to help curb financial frauds. CBI Director Anil Sinha said that the group will meet regularly and go into various aspects relating to early detection of frauds and defaults. He said, the working group will look into every default so that it can be declared fraud swiftly and CBI can investigate them expeditiously.

Mr Sinha called for free-flow and exchange of information between various institutions so that CBI can actually have a very effective mechanism to proceed against people who are swindling public of their money and also who are causing severe losses to banks. Sinha said the CBI will now be engaging with financial bodies like banks, insurance firms and regulatory authorities, for capacity building programme

The CBI said it investigated 171 bank fraud cases involving funds of over Rs 20,000 crore and ponzi schemes to the tune of Rs 1.20 lakh crore last year.

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Top state-run lender State Bank of India (SBI) has sought arrest of Vijay Mallya, and also impounding of his passport, as the bank approached Debt Recovery Tribunal (DRT) seeking action against the UB Group promoter for defaulting on loans.

SBI has moved four applications at the DRT in Bangalore, seeking impounding Mallya’s passport, getting him arrested, securing the lenders’ first right on the payout from Diageo and getting full disclosure of his assets in the country and abroad.