Srinagar, Dec 18 (KNO): Bank frauds in Jammu and Kashmir Bank Limited over the last three financial years have seen fluctuating amounts but the number of such incidents has also reduced, Minister of State (MoS) for Finance, Pankaj Chaudhary informed Parliament.
Between 2021-22 and 2023-24, a total of 32 fraud cases were reported, involving Rs. 320.42 crore, he said in a written reply as per the news agency—Kashmir News Observer (KNO).
The Reserve Bank of India (RBI) data also shows a nationwide decline in the amount involved in banking frauds above Rs 1 lakh, decreasing from Rs 9,298 crore in FY 2021-22 to Rs 2,715 crore in FY 2023-24.
Year-wise, J&K Bank Limited reported 11 fraud cases in FY 2021-22 involving Rs 14.23 crore. In FY 2022-23, the number of cases rose to 13, but the amount involved escalated significantly to Rs 298.09 crore. However, FY 2023-24 saw a notable reduction with only eight cases reported, involving Rs 8.10 crore, the reply reads.
The Reserve Bank of India attributes the overall decline in banking frauds to comprehensive measures, including revised Master Directions on Fraud Risk Management issued in July 2024. These measures emphasize strengthening the governance role of bank boards, instituting robust internal audits, and improving frameworks for early warning signals and red flagging of accounts. The introduction of dedicated data analytics and market intelligence units in banks has also been mandated to aid in early detection and prevention of fraudulent activities, he said.
“These reforms have significantly enhanced the ability of banks, including J&K Bank Limited, to deter fraudsters and safeguard financial transactions effectively,” the MoS added—(KNO)