PNB steps into 124th year, resolves to strengthen Mission PARIVARTAN

To avert any future fraud, the state-run lender Punjab National Bank said that it has strengthened internal audit controls by having separate "pre-sanction appraisal and post sanction monitoring" teams for credit disbursal.

Besides, the lending major said that it will look on a quarterly basis on whatever internal accruals can be generated — through recovery, more efficient risk management, more business generation and more cross selling.

"We have strengthened our process of underwriting of credit to wean out any possibility of fraudulent behavior and ensure a fair evaluation," a senior official of the bank said on the sidelines of PNB's 124th Foundation Day held on April 12. "The process has been divided into four components with different employees focused on -- sourcing appraisal, processing and underwriting documentation and disbursement recovery."

These new developments are part of the bank's "Mission Parivartan" under which an independent think-tank has been set-up within the company to provide "both directional and policy inputs".

In terms of new products and services, the state-run bank on its foundation day informed about several new initiatives like "pre-approved credit card" which are issued on a customer request through SMS and PNB's UPI partnership with the "Walnut App".

"In the next 100 years, I believe that PNB has an opportunity to reach even more people especially those without financial access and continue to empower MSMEs and countless businesses to realise their true potential," said Sunil Mehta, MD & CEO, Punjab National Bank.

According to the bank, its Board has also approved revamping of the process and given higher weightage to the off-site monitoring mechanism.

In addition, the state-run lender has decided to deploy Artificial Intelligence (AI) for reconciliation of accounts for technology interventions to counter the repeat of recent fraud.