The largest lender of the country, State Bank of India has sent an e circular to the Chief General Managers of all Circles that business correspondents (BCs) may pose a threat to the reputation of the bank through their malpractices.
The circular was generated in the Mumbai based corporate center of the bank.
"This (behaviour) poses serious risk to the reputation of the bank and needs to be checked ab initio," states e-Circular by the lender.
It has been informed to all circles that some of the customer service points (CSPs) implementing the BC model have been found to be indulging in malpractices.
The unethical practices included asking for money apart from the approved rates by the bank in the name of service charge in cases like remittances/tatkal transaction etc.
An audit has been sought for in this regard against these practices.