Reserve Bank of India tightens anti-money laundering rules following Bank of Baroda arrests
An HDFC worker and six employees, including an assistant general manager and the head of the foreign exchange division, at India's second largest bank, Bank of Baroda (BoB), have been arrested today in connection with the Rs 6,000-crore ($1.11bn) suspicious remittance case; the investigation is over trade-based money laundering, where accused traders evade custom duties and taxes to generate slush funds.  All of the accused are alleged middlemen for at least 15 fake companies, out of the total of 59 that have so far been discovered by the Central Bureau of Investigation (CBI).  This latest development has prompted the central bank of India to tighten anti-money laundering rules.

These include two senior officials from Bank of Baroda and an official from HDFC Bank. These include two senior officials from Bank of Baroda and an official from HDFC Bank.

Six persons allegedly involved in illegal remittances of over Rs 6,000 crore from Bank of Baroda (BoB) to Hong Kong and Dubai have been arrested by the CBI and Enforcement Directorate (ED). These include two senior officials from Bank of Baroda and an official from HDFC Bank.

On Tuesday, CBI arrested BoB assistant general manager S K Garg and foreign exchange officer Jainish Dubey after searches of their homes led to the recovery of some documents.

The ED arrested four persons including Kamal Kalra who works with the foreign exchange division of HDFC Bank. The other three, identified as Chandan Bhatia, Gurucharan Singh Dhawan and Sanjay Aggarwal, allegedly facilitated remittances sent abroad by 15 of 59 companies under the scanner.