CBI filed chargesheet against EX-IRFC Amitabha Banerjee in case of Corruption

The Central Bureau of Investigation (CBI) has filed a chargesheet against former Indian Rail Finance Corporation (IRFC) chairman and managing director Amitabha Banerjee for alleged inconsistencies in the purchase of gift items at exorbitant prices, officials said on Tuesday.

After nearly three months of probe, CBI submitted its findings to a special court against Banerjee and they said that the agency had invoked provisions of the Prevention of Corruption Act against him.

According to the officials, Banerjee was sacked last year over alleged financial misconduct and misuse of his position, he joined the public sector undertaking as its managing director in 2019 before being elevated to the CMD.

The probe action against him was commenced based on inputs that were provided by the railway’s vigilance department, which showed the purchase of gold coins and other non-gold items meant for distribution as gifts at exorbitant prices, officials said.

The CBI probe was approved by the Union Minister of Railways Ashwini Vaishnaw.

The IRFC provided financial loans to the national transporter for the establishment of infrastructural assets as well as the acquisition of rolling stock in recent years. It is a PSU owned by the railways.

The official stated that the central agency found a violation of guidelines during the search action and they charged Banerjee with criminal misconduct under the Prevention of Corruption Act.

The CBI discovered that there were no established guidelines or standard operating procedures for the purchase and distribution of such expensive items provided by IRFC officials.

During the investigation, the IRFC officials were not willing to disclose the list of the recipients of the gift items procured with public money, which prima facie appeared to be a “clear case of financial embezzlement on the part of the officials,” the Railways Vigilance officials said.

The Company claimed, “As a finance firm, the full disregard for financial propriety in this matter suggests possible mens rea (intention or knowledge of wrongdoing that constitutes part of a crime) on the part of IRFC personnel, including the then-CMD. Railway Board Vigilance was unable to further explore the case because IRFC personnel did not provide a list of beneficiaries.”