"Interim Order Posing Difficulties": RBI Tells SC While Seeking Lifting Of Restrictions On Declaration Of Accounts As NPAs In Loan Moratorium Plea's

The Reserve Bank of India (RBI) informed the Supreme Court today that it was seeking lifting of restrictions imposed by the Supreme Court whereby it, protected those accounts from being declared as Non-performing Assets (NPAs), which were not classified as NPAs on August 31.Senior Advocate VV Giri who appeared for the RBI told the Court that the Top Court must hear the RBI's stand on the next date of hearing."The Interim Order imposed by My Lords is causing great difficulties for the RBI. My...

Plea Seeking Extension of The Benefits Of RBI Circular on Loan Moratorium To All NBFCs: SC Issues Notice

The Supreme Court has issued notice to the Centre and Reserve Bank of India in a plea by The Confederation of Real Estate Developers' Associations of India (CREDAI) which sought for clarification regarding whether all NBFCs were eligible for loan moratorium or whether banks had the discretion to give the benefit. 

On March 27, in wake of the COVID-19 pandemic and the consequent national lockdown, the RBI had issued a Circular, giving liberty to all banks to allow a moratorium period of three...

Indiabulls Moves Delhi HC Against SIDBI, Says Loan Installments Can't Be Demanded In Light of Moratorium Imposed by RBI [Read Order]

Indiabulls Commercial Credit Limited has moved the Delhi High Court challenging the demands for loan installments made by Small Industries Development Bank of India (SIDBI). Indiabulls has contended that SIDBI can't make such demands in light of the moratorium imposed by the Reserve Bank of India by circular dated 27/03/2020. Appearing for the Petitioner, Senior Advocate Rajiv Nayyar informed the court that the Petitioner had entered into a loan agreement with SIDBI whereunder the...

No Charge On ATM Withdrawals For 3 Months ; Complete Waiver Of Minimum Balance Charge : Finance Ministry

As a part of relief measures announced in view of COVID-19 lockdown, the Union Finance Minister Nirmala Sitharaman on Tuesday announced complete waiver of minimum balance charges for savings bank accounts for next three months.Also, debit card holders who withdraw cash from any bank ATM can do it free of charge for the next three months."You may withdraw cash from any bank's ATM. You don't have to worry about keeping a minimum balance. No fee shall be levied for not maintaining a minimum...

Eligibility Limit Of NBFCs For Debt Recovery Reduced [Read Notification]

The Central government has relaxed the eligibility criteria for non-banking financial companies (NBFCs) for debt recovery under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002. As per the notification issued by the Ministry of Finance on Monday, a NBFC having assets worth Rs 100 crore will be entitled for enforcement of security interest in secured debts of at least Rs 50 lakh. The existing eligibility limit for ...

All You Want To Know About Law On Willful Defaulters

The case of Willful Defaulters was taken up by the Central Vigilance Commission back in 1999. It gave instructions for the collection of information on willful defaults of Rs.25 lakhs and above. Pursuant to these instructions, Banks and notified Financial Institutions were required to submit information on willful defaulters to RBI. The RBI, on 1.07.2015 (Revised) issued a Master Circular which consolidated instructions on how all the commercial banks and notified financial ...

24 Yrs After Causing Loss Of Rs 38K, Bank Peon’s Conviction Upheld By SC

Twenty-four years after a bank’s peon, who doubled as cash clerk due to shortage of staff, was held for corruption and causing wrongful loss of Rs 38,500 to the bank, the Supreme Court on Wednesday upheld his conviction but reduced his jail term from a cumulative five years to three years.A bench of Justice R Banumathi and Justice Indira Banerjee upheld the conviction of Ram Lal while holding that “there is no merit in the contention of the appellant that in the absence of office order...

Serpent Beneath The Falcon’s Shadow

NUT SHELLA statutory prescription that has beckoned much litigation has recently been granted as a boon on a platter to upcoming economic tycoons in private sector; is the point of discussion that has been attempted to ventilate through this pieceDays passed away; as the undulate ocean waveLife galloped; with the swiftness of a horseAs the tulips; await its autumn springSo shall the law; evolve with the efflux of time.“BE A VOICE NOT AN ECHO”The fiscal policy of the democratic government as...