Sunday, July 21, 2019

On the PNB-Nirav Modi fraud, where did Rahul Gandhi get his facts from?

03 May 2018

Claim

Rahul Gandhi has the reputation of quoting facts and figures without mentioning the source or explaining how he arrives at these figures. He said “Nirav Modi fled with Rs 30,000 crore”

Fact

According to the Press Trust of India (PTI) report, Punjab National Bank alleged a fraud of Rs 11,400 crore. These facts are in the public domain. But Rahul Gandhi alleged that Nirav Modi extracted Rs 30,000 crore from the fraud, without any source or calculation on how he arrived at this figure. Moreover, it is a known fact that the LoU which created the scam started in the UPA regime.

In the wake of the alleged PNB fraud, the administration approved the Fugitive Economic Offenders (FEO) Bill, 2018. The bill was in the pipeline and was drafted as far back as May last year and the draft was made available by the government for public comment.

The proposal for establishment of National Financial Reporting Authority (NFRA) has also been approved. NFRA will act as an independent regulator for the auditing profession.

Conclusion

The random claim of a loss of Rs 30,000 crore from Rahul Gandhi shows his clear disregard for facts. At the same time, it shows how he wants to skirt away from being blamed for the alleged fraud, considering that it began under the UPA government.

The FEO Bill and NFRA, have been brought to nab defaulters and is hardly the sign of a government who would want financial defaulters to flee. As far as Rahul Gandhi is concerned, he must clarify what steps did the previous Congress governments take to bring defaulters to the book.