A statement by the CBI Director Ashwini Kumar, on Thursday revealed that the banking industry has lost as much as Rs. 5,500 crore as a result of frauds in the last four fiscals.

The statement was given by the CBI Director while speaking at the 2nd Conference of Central Vigilance Officers of public sector banks and financial institutions and CBI officers in New Delhi.

"Besides, the traditional loans and advances and the frauds in electronic payments are also on the increase. The technology-driven payments like Real Time Gross Settlement (RTGS), National Electronic Funds Transfer (NEFT), credit cards, ATM transactions, cell banking and internet banking are also showing glimpses of frauds," Mr. Kumar said.

The highest loss in the last four fiscals was accounted in the year 2008-09 bearing an amount of Rs. 1,883 crore.

"He (Kumar) said as per some estimates the banking sector has lost as much as Rs 1,381 crore, Rs 1,194 crore, Rs 1,059 crore, and Rs 1,883 crore during 2005-2006, 2006-2007, 2007-2008 and 2008-2009 respectively which involved nearly 733 frauds of Rs one crore and above," CBI Additional Director General (Media and Communication) and spokesperson Harsh Bhal said.

Addressing the gathering on the occasion, Mr. Kumar emphasized on the fact that keeping a check on frauds is a collective responsibility of all individuals. It is also everybody's responsibility to adapt to the changing technology and develop knowledge and skills so as to keep a strict vigil on losses arising due to frauds.