What comes across as a shock in the Phajo Nidup banking fraud case is the sheer lack of accountability be it at the Phuentsholing Thromde or the Banks themselves.
It was this that allowed the Phajo to take double mortgages and effectively dupe people.
It is shocking that in this day and age so many agencies and well educated and smart people can be duped.
The Phuentsholing Thromde must take accountability for not maintaining proper records of the loans which encouraged the double mortgages.
The Banks must take even bigger accountability for not doing their due diligence on the issue as it is their basic job to check with other banks if the same property is not mortgaged with them.
The RMA needs to do a thorough system review to ensure that the rot has not gone too deep.
The issue in some sense comes to our Achilles heel of lack of coordination.
It is also a matter of concern that despite the huge sums of money involved, numbers of people impacted and the gravity of the case, it was treated lightly with the RBP asking the victims to go to the ACC who in turn sent the case to the RMA who sent it back to ACC.
It is difficult to understand why the higher judiciary would give a stay order on the verdict of its own lower courts to hold Phajo accountable.
At least the RAA is looking into the issue as part of its regular auditing.
As the ACC looks at the case there is every chance of corruption and collusion also coming to light and that may just open another can of worms.
It is difficult to believe that Phajo worked alone in this without the possible collusion of others.
The current case while being the biggest of its kind till date may just be the tip of the iceberg.
It may also explain the the high number of NPL cases in the country and how some of these very well could be deliberately done to cause loss to the banks for the benefit of a few with collusion or lack of due diligence from inside financial institutions and other agencies.
It’s easy to get a loan unless you need it.
Norman Ralph Augustine