PMC Bank saw massive cash withdrawals before RBI clampdown

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What made the Punjab and Maharashtra Cooperative Bank trust a shantytown developer with almost 70% of its loan book? Even as the Mumbai Police on Monday filed an FIR against the PMC Bank, a confession letter by suspended managing director Joy Thomas has exposed just how comfortable the relationship between the bank and Wadhawan family had become over the years.According to the reports, PMC Bank did not report its exposure to Housing Development and Infrastructure Limited (HDIL) for six to seven years. How the auditors could be hoodwinked for such a long time is a case ripe for investigation.

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    What made the Punjab and Maharashtra Cooperative Bank trust a shantytown developer with almost 70% of its loan book? Even as the Mumbai Police on Monday filed an FIR against the PMC Bank, a confession letter by suspended managing director Joy Thomas has exposed just how comfortable the relationship between the bank and Wadhawan family had become over the years.According to the reports, PMC Bank did not report its exposure to Housing Development and Infrastructure Limited (HDIL) for six to seven years. How the auditors could be hoodwinked for such a long time is a case ripe for investigation.

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