Advisory Board for Banking & Financial Frauds (ABBFF)

The Advisory Board for Banking and Financial Frauds (ABBFF) has been reconstituted for a two-year term, effective August 21, 2025. Functions as a ‘Safety Valve’ for bankers, providing advice before criminal investigations in major fraud cases.

Advisory Board for Banking and Financial Frauds (ABBFF):

The Advisory Board for Banking and Financial Frauds (ABBFF) is a high-level panel set up by the Central Vigilance Commission (CVC) to examine the role of senior officials of Public Sector Banks (PSBs), Public Sector Insurance Companies, and Public Sector Financial Institutions in large fraud cases.

Key Points:

• Purpose: Acts as an advisory body to determine whether bank/financial institution officials had any criminal intent or malafide involvement in frauds.
• Cases Covered: Fraud cases involving ₹3 crore and above.
• Process:
  • Public sector banks/financial institutions must refer such fraud cases to ABBFF before initiating criminal investigation.
  • ABBFF gives advice on the culpability of officials.
  • Advice is shared with investigating agencies like CBI.
• Composition: Includes former senior officials from banking, finance, law enforcement, and vigilance backgrounds.
• Significance: Protects honest bankers from harassment, while ensuring accountability in genuine fraud cases.

BS