Banks owe Chandigarh Police Dept Rs 4.11 crore for security service

Amit Sharma

Chandigarh, June 23

A number of banks owe Rs 4.11 crore to the Chandigarh Police on account of security services provided to them. The UT police offered security to the banks without receiving full payment in advance, which is in contravention of the Punjab Police Rules.

The police provide security during currency transfer and for station static guard at chests at banks.

According to the inspection report of the Comptroller and Auditor General (CAG), a review of the departmental records from 2019 to 2023 revealed that the police offered security to various banks without receiving full payment in advance, which is a contravention of the Punjab Police rules.

The scrutiny revealed that Rs 4.11 crore was outstanding against seven banks and the Reserve Bank of India (RBI), with the RBI alone owing Rs 1.02 crore for security services provided in 2022-23.

According to rule 2.11 of the Punjab Police Rules, the provision of additional police to private entities is at the superintendent’s discretion and subject to the district magistrate’s general direction. The rule 2.11 (2) stipulates that additional police cannot be provided without full payment in advance.

The Police Department charges for security services based on the salary and rank of the officers provided.

“These outstanding dues highlight the financial obligations of the banks towards the Police Department and underscore potential issues in payment compliance or administrative oversight,” said social activist RK Garg.

In response to the audit’s findings, the department stated that efforts are underway to recover the dues.

The report further highlights an outstanding licence fee of Rs 16.80 lakh against a private bank for the installation of ATMs. These ATMs are located at the Traffic Lines, Sector 29, Police Lines, Sector 26, IRB in Sarangpur and the Police Headquarters in Sector 9.