Economy, Business And Markets

Banking Scrutiny Tightened

Banking Scrutiny Tightened Banking Scrutiny Tightened

The General Inspection Office of Iran (GIO) will increase its oversight on state-owned lenders as most wrongdoings reported recently in the media have been carried out in the banking system, says the organization’s head. “The GIO plans to use beneficial, punitive measures in order to change the erroneous management of some of the banks,” the organization’s chief Naser Seraj said on Saturday. GIO is in charge of monitoring and investigating the activities of all state-owned entities for possible wrongdoing. Bank employees have misused their positions in favor of some borrowers and in some cases employees have given loans to favored customers or misprocessed their applications, recent reports have said. Lawsuits have been filed in various provinces against commercial lenders and the organization will investigate cases of wrongdoing regarding loan payments more thoroughly than before, according to Seraj.