PNB chief Sunil Mehta admits the collusion of employees in LoUs scam

Agency questions MD at length on why the bank took so long to detect the fraud

A report published in Business Standard (Probe finds staff collusion, systemic failure at PNB) had wrongly mentioned that Punjab National Bank Managing Director and CEO Sunil Mehta came to know about the letters of undertaking fraud on January 3. The correct date is January 23, 2018. The error is regretted. 

Punjab National Bank’s (PNB’s) managing director and chief executive, Sunil Mehta, admitted the collusion of employees in the letters of undertaking (LoUs) scam while being questioned by the Enforcement Directorate (ED) on Thursday, according to sources.

Mehta’s statement was recorded by the probe agency under the Prevention of Money Laundering