Who is Baroda trying to fool?

So the Bank of Baroda wants to shut down all its branches in South Africa, “Hits & Misses” (February 18). The reason given for this dramatic move by its parent company is the rationalisation of its operations.

Who is it trying to fool? It is clear that this is another casualty of the Gupta episode, like the other companies that have either folded or left South Africa.

There can be little doubt that the purpose of this move is to avoid interrogation by the Financial Intelligence Centre, which would show the Bank of Baroda in a poor light regarding the Gupta accounts it had to shut down. No doubt these investigations and their consequences would have to be reported to the regulatory authorities of the parent company in India. If it is found guilty of any transgressions, the parent company’s financials would no doubt have to be appropriately qualified.

In view of all these hurdles, no doubt “rationalisation” is a better option.

AM Kadwa, by e-mail