Call for probe into LKB affairs

KOCHI: Former vice-president of the Lord Krishna Bank Employees Union V P Kammath has accused the Reserve Bank of India of having failed in its duty to safeguard the interests of the LKB. He alleged that RBI had supported the activities of the LKB management in the past and it had led to erosion in the base of the private bank. The Joint Parliamentary Committee formed in the aftermath of the securities scam in 1992-93 had found several irregularities in the LKB and had demanded a CBI probe. He said a top official of the private bank who had been suspected of indulging in foul play was elevated and later allowed to resign. The RBI had failed to take appropriate action then, he said.