Rs 385 millions scam unearthed in NBP

Aftab Ahmed

The cashiers of the National Bank of Pakistan’s (NBP) in different branches have allegedly been involved in frauds of Rs385 million.

The Branches include Khanaspur, Ayubia, and Khaira Gali branches where cashiers have been involved in a fraud of Rs385 million, according to rough estimates.

Sources said that they committed the crime in connivance of branch managers and while a rough estimate of the amount has been given, there is a possibility that a larger sum was involved as the high-up are currently investigating the scam.

The Inspection team had estimated that the total misappropriation at the Khairgali branch was Rs245 million (Rs146 million in cash in hand and Rs98 million in adjusting account).

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In its report, the team stated that it was evident that the branch manager of Khaira Gali collaborated with the Ayubia branch manager and repeatedly made entries against each other for the scam.

Upon their visit to the Khair Gali branch, the inspection team of the bank learned that there was no connectivity system in place, keys were being mishandled, and the cashier was not aware of any financial irregularities in SAP GL.

When the team checked the B-52 balance which coincided with the cash in the vault, it was revealed that the branch balance witnessed a sudden increase after December 31, 2019.

Similarly, on their visit to the Khanaspur branch, it knew that dual control was not practiced, no cash books were written and B-52 was written only in the past two months. The cash balance witnessed a sudden increase after October 2019, leading to speculation that the cash was requisitioned from the Murree branch.

The Inspection team had observed that the branch manager and officials did not produce day books or vouchers for inspection and the adjustment accounts of the branch were repeatedly debited with large amounts.

These amounts remained outstanding for long periods. There have also been large amounts in the parking accounts from where credit was given to accounts in the Ayubia branch.

Sources said that the adjusting accounts were repeatedly adjusted to make everything look normal. Sources added that 13 bags of gold ornaments were found in the cash vaults while as per ZREP045, 15 gold finance limits were outstanding in the branch books. The team also learned that there was a total misappropriation of Rs190 million (Rs119 million in cash in hand and Rs20 million in adjusting accounts.