Transfer Valimiki Development Corporation Probe To CBI To Ensure Integrity Of Banking Industry: Union Bank Of India To Karnataka High Court

The Karnataka High Court is considering a petition by the Union Bank of India to transfer the investigation into the Valmiki Development Corporation scam to the Central Bureau of Investigation (CBI). The bank argued that the transfer is necessary to maintain the integrity of the banking industry. The court is examining whether the dispute between the state and central government affects the maintainability of the plea. The Attorney General argued that the petition does not rely on the Delhi Special Police Act but on the Banking Regulation Act, which mandates RBI’s oversight in cases of bank fraud. The court will decide on the maintainability of the plea before proceeding further.