New Delhi, Feb. 14 (PTI): The finance ministry on Wednesday sought to allay worries over the Rs 11,300-crore fraud at Punjab National Bank, saying the case not “out-of-control” and it is taking action.

”I don’t think this is out of control or too big a worry at this point. That is my broad sense,” Lok Rajan, Joint Secretary in Department of Financial Services, said on the sidelines of an event here.

Earlier in the morning, Punjab National Bank had disclosed that it has detected some fraudulent transactions with financial implication of USD 1.171 billion (about Rs 11,334.4 crore) and the matter has been referred to law enforcement agencies for the recovery. 

Based on these transactions, other banks appear to have advanced money to these customers abroad, it said. 

In the bank these transactions are contingent in nature and liability arising out of these on the bank shall be decided based on the law, and genuineness of underlying transactions. The value of the transactions is about $1771.69 million, it said. 

This is the second incidence in less than 10 days where a bank has been defrauded. On February 5, the Central Bureau of Investigation booked billionaire diamond merchant Nirav Modi, his wife, brother, and a business partner for allegedly cheating Punjab National Bank of over Rs 280.70 crore during 2017. 

The CBI has acted on a complaint from the PNB, which alleged that Modi, his brother Nishal, wife Ami and Mehul Chinubhai Choksi were in conspiracy with officials of the bank and cheated it, causing “wrongful loss”.