Noida, Jul 27 (PTI) The Noida Authority said it has launched a probe into the alleged irregularities in the fixed deposit of Rs 200 crore of its money in a public bank, bringing under scanner the role of its finance department officials.


The probe panel will submit inquiry findings to CEO Lokesh M by August 5, the authority said.


A separate police inquiry into the financial fraud in which the FDs, for which money was taken from Noida Authority, were never made is underway.


The irregularities surfaced in mid-June during the tenure of former CEO Ritu Maheshwari and so far five people have been arrested by the police.


Close on the heels of the FD fraud case, Maheswari was on July 19 transferred as the CEO of the Noida Authority and replaced by Lokesh M, who was serving as the Divisional Commissioner of Kanpur.


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The authority on Wednesday issued a show notice to chief finance and accounts officer Manoj Kumar Singh, seeking his response within three days, failing which legal action, including suspension, could be initiated against him, it said.


Besides him, the roles of finance controller Swatantra Kumar Gupta and accountant Rohit Bansal in the case are also under the scanner, according to officials.


“Prima facie, several irregularities were found in the authority in the case of FD of Rs 200 crore, in order of which a show cause notice has been issued for suspension of the chief finance and accounts officer for showing irregular favour to the Bank of India branch located at Sector-62, Noida,” the Noida Authority said in a statement.


“In the event of not receiving a satisfactory reply within three days, the authority will send a proposal for departmental action to the government, recommending suspension,” the authority said.


The authority said that the entire amount (Rs 200 crore) has been received from the Bank of India in its account and the bank has also assured to pay the interest due on the said amount, according to the statement. 


(This report has been published as part of the auto-generated syndicate wire feed. Apart from the headline, no editing has been done in the copy by ABP Live.)