The governor of the Reserve Bank of India (RBI) Urjit Patel, who remains silent generally broke his silence. In the case of cheating in government banks,
The governor of the Reserve Bank of India (RBI) Urjit Patel, who remains silent generally broke his silence. In the case of cheating in government banks, has been in questions. Regarding the rule of government banks, the central bank’s authority is limited to the regulation of private banks. Patel’s argument was to surprise that RBI could not regulate government banks.
Governor Patel has three major arguments. First, the regulation of government banks is subject to three enactments by the Government of India. Secondly, the powers of RBI are completely eliminated on corporate governance of the public sector; and third, RBI cannot remove the directors of the government banks, nor can he change his or her influence. Within a day, the officials of the Ministry of Finance reversed them and said that only on some of the special loans or other risks of banks, RBI has the right. RBI makes annual reviews of loan policies of government banks and other behaviors. What Patel has said about RBI is appropriate in terms of law and regulations, but reality is different. RBI will have to respond to questions from a few general:
- Is the government bank out of the supervision and surveillance of RBI?
- Do the public banks have to present returns and statements on the lines of private banks before RBI? Who do they have in RBI and what happens to them?
- Why did inspectors of RBI fail to remove systematic problems of public banks?
- When did the Ministry of Ministry overlook RBI’s suggestion for disciplinary action against any bank Chairman?
- A relatively weak RBI, after one, released a series of schemes that helped the bank deal with its lost debt and which took appropriate steps from time to time.
- Are not the directors of RB in the board of the government banks? What is their role? Did he not have a role in every major loan decision?
- Did RBI demand more rights to become a more effective banking supervisor and that request were denied?
- Like his predecessors and other deputy governors, did Patel help to lecture a methodology to highlight policy flaws? While they could take the help of a well-researched and strong policy letter for which the path of debate and feedback would have been extended?
- In addition to this, why are the people of corrupt and incompetent people refusing the order of the Supreme Court to implement the RTI Act Rule? By denying the right to information by government banks which is being contempt by RBI in the court will be to those banks who they say they are out of control.
This is a mockery of justice. If the defects of government banks break on the RBI, then the employees of the financial sector are not entitled to work. However, they rarely use their rights in the public interest. Rather they are more interested in hearing about ministers and other leaders. There is only one way to stop it. There is a need to take the necessary steps instead of allegation.