Anti-Corruption Bureau on Monday said that the report received has revealed that an insurance deal in violation of norms was made by Jammu and Kashmir Bank with a company in which close relative of former chairman of Bank was employed.“A source report received by the Anti-corruption Bureau  revealed that a insurance deal inviolation of norms has been made by J&K Bank with one company namely, IFFCO TOKIO in which close relative of former chairman J&K Bank Parvez Ahmed Nengroo is employed resulting in toundue benefits to the said company,” a statement issued to KNO reads.

It said that a verification conducted into the matter revealed that J&K Bank had already entered into venture with PNB Metflife Insurance company for sale of its insurance products in the year 2000, followed by similar nature of venture with Bajaj Allianz Insurance Company for sale and distribution of its non-life insurance products including health product in the year 2002.

“The verification conducted into the matter revealed that due to the said insurance deal, the said beneficiary company has been conferredbusiness of insurance in Srinagar and Anantnag at the cost of bank resources and that of Bajaj Allianz company Ltd which was already in arrangement with J&KBank since 2002,” it added.

The statement added that the initial probe further revealedthat in the first quarter of financial year 2018-2019,i.e, April to June,J&K Bank received commission from Bajaj Allianz to the tune of Rs 159 lacs,whereas commission received from IFFCO TOKIO General insurance Company Ltd forthe first quarter of current financial year is to the tune of Rs 88 lacs onlywhich is less by Rs 71 lacs, thereby a loss in the form of commission toJ&K Bank Ltd has been caused.

“By resorting to the acts of favoritism and abuse ofofficial position as Chairman J&K Bank in connivance with MD IFFCO TOKIOGeneral Insurance Company, his relative Asif Manzoor Beig was appointed in thesaid insurance company against annual salary package of Rs 19,28,886 which isapproximately 2.5 times higher than that of the package given by Bajaj AllianzGeneral Insurance Company where the accused beneficiary was functioning asdeputy manager,’ the statement reads.

“It is pertinent to mention here that the said accusedbeneficiary is serving as Chief Manager in IFFCO TOKIO General InsuranceCompany Srinagar office. In order to effect search of the office premises ofIFFCO TOKIO General Insurance Company located at Chinar Complex Residency RoadSrinagar Kashmir, a warrant was procured from the competent court of law. Thesearch was conducted to seize incriminatory evidence related to the commissionof the offence by the officers/officials of IFFCO TOKIO General InsuranceCompany Ltd,” it added.

The aforementioned omissions and commissions on the part ofParvez Ahmed Nengroo, the then Chairman J&K Bank Ltd in furtherance ofconspiracy hatched with Officer/officials of IFFCO TOKIO General InsuranceCompany Ltd while executing an insurance deal with the said company in order tosecure appointment of his  close relativeAsif Manzoor Beigh in the said company and others at the cost of J&K Bankresources constitute criminal misconduct under J&K P C Act 2006 and thusdisclose commission of offences punishable U/S 5(1) (d) read with 5(2) J&KPrevention of Corruption Act and section 120B of the RPC.  Case FIR No 14/2019 stands registered in PSACB Srinagar into the matter and investigation is going on.