Farmers’ protest: Govt agencies turn the lens on funding

K Ram Kumar Updated - January 31, 2021 at 10:18 PM.

Seek details from banks beyond what they report to RBI

Close-up Of Businessperson Hands Checking Invoice With Magnifying Glass At Desk

Law enforcement agencies (LEAs) investigating the funding aspect of the protracted farmers’ protests have sought additional details from banks under four heads — cash, bank transfer, debit card and forex — over and above what they are already submitting per the Reserve Bank of India’s circular on ‘Recording of Details of Transactions in Passbook/Statement of Account’.

Additional granular data are being sought following a review meeting recently conducted by the Central Economic Intelligence Bureau (CEIB) with the RBI, banks and LEAs on reporting of transactions in connection with investigations by central agencies, said a banker.

By seeking additional transaction details from banks, it appears LEAs — the National Investigation Agency, the Directorate of Enforcement and the Intelligence Bureau — want to investigate the financial-backing aspect of the protracted agitation.

LEAs want information on ‘Cash-Credit’ (self through cash deposit voucher; by others through cash deposit voucher and cash deposit machine/CDM) and ‘Cash-Debit’ (self through voucher, self-cheque, cash withdrawal/POS debit, ATM/CDM withdrawal).

The agencies have turned the lens on “Bank Transfer-Credit and Debit” (through cheque/demand draft; online account-to-account within same bank; online transaction through payment gateways, NEFT, RTGS, UPI, prepaid payment instruments; IMPS; counter transfer).

“Debit Card-Credit” (card-to-card transfer), “Debit Card-Debit” (POS, online shopping platforms/other transaction platforms, card-to-card transfer), “Forex-Credit and Forex-Debit” (through money transfer service scheme/MTSS, online) will also come under the agencies’ scanner.

Per RBI circular relating to “Recording of Details of Transactions in Passbook/Statement of Account”, banks are already required to record a host of transactions, but the LEAs are seeking additional details that are not being collected by the banks at present.

Published on January 31, 2021 14:25