Why are Internal Controls important? Just ask PNB

Lack of Internal Controls leads an organization down the path of disaster as many examples have emerged in the past across the world. Perhaps the most egregeous one of all in India was the scam executed by Nirav Modi along with a bunch of crooks in Punjab National Bank. While the usual heart thumping took place, bails were granted liberally and no senior management was implicated or arrested.

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BNPL Loan Securitization – A 2008 Credit Default Swap Crisis Déjà vu?

Paypal Europe recently announced that it has offloaded 40Billion Euros worth of BPNL loans from its balance sheet to private equity firm KKR. Does this signify a fear among BPNL Loan originators thta a credit crisis may coming soon? This may have frightening similarity with the 2008 credit default swap crisis in the mortgage market.

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