Congress calls PNB fraud ‘biggest bank loot’, BJP says it’s another UPA scam

The Congress on Friday continued its belligerent attack on Prime Minister Narendra Modi and claimed that the Punjab National Bank (PNB) fraud of over Rs 11,000 crore was India’s biggest “bank loot scam” and has got bigger to touch Rs 21,306 crore.

The BJP hit back, saying the fraud was another UPA-era scam which came into the open due to the “alertness” of the NDA government.

Congress spokesperson Randeep Singh Surjewala asked why the government was silent on the issue and how did it and the agencies permit billionaire diamond merchant Nirav Modi, his uncle Mehul Choksi and others to leave India.

“Punjab National Bank has already admitted exposure of Rs 11,400 crore in the 293 ‘Letters of Undertaking’ (LoUs).

“In addition, exposure of 30 banks in loans extended to four companies -- Firestar International Private Limited, Firestar Diamond Fze, Gitanjali Gems Limited and Gitanjali Exports Corporation -- is Rs 9.906 crore,” Surjewala told mediapersons.

“Thus, total exposure comes to Rs 21,306 crore.”

Taking a dig at the government’s scheme, he said: “No wonder, ‘UDAAN’ is the buzzword of Modi government, wherein every scamster can fleece and fly - unchecked and undetected.”

The Congress asked what is the total loss to the banks and posed more questions.

Union HRD minister Prakash Javadekar refuted the charges, saying the NDA government under Prime Minister Narendra Modi took extra-ordinary steps to cleanse the whole banking system which was destroyed by the United Progressive Alliance (UPA) regime. “We inherited NPAs from them who gave bad loans,” he said.

Javadekar also sought to know from the Congress about links between Gitanjali Gems and Rahul Gandhi.