New Delhi, State-run Punjab National Bank (PNB) on Monday said it will continue to strengthen its internal systems to foil any future attempts at fraud despite demonstrations by the employees’ union of the lender at some centres.
“PNB is taking all required steps to check any kind of gap, loopholes and deviations in system and procedures,” the company said in a statement on Monday.
“The norms are being strengthened and standard operating procedures are being revisited.”
Recently, PNB has taken several steps to strengthen its internal systems such as a credit restructuring exercise under which large accounts as well as lending operations will be concentrated in a “few specially designated” branches.
Further, the bank has decided to shift most of the borrowal accounts above Rs 50 crore to branches which will be designated “Systemically Important Branches” (SIBs).
The lender had earlier said that most of its bigger accounts will be operated from branches designated as “Large Corporate Branches” (LCBs) while regular branches will concentrate on regular savings accounts and CASA (current account and savings account).
PNB has already created a stressed asset vertical in June to focus on recovery of stressed assets and NPA’s and has also launched the first Central Loan Processing Centre (CLPC) in Connaught Place, New Delhi.
These changes are a part of the recommendations by the bank’s independent think tank named ‘Mission Parivartan’ that has pushed for centralisation of critical functions.