High-Level Committee Announced on Bank Mergers 🏦

📢 High-Level Committee Announced on Bank Mergers 🏦

The Government has announced the formation of a High-Level Committee to review and recommend the future course of bank mergers in India.

🔍 What the committee is expected to examine: • Impact of past mergers on efficiency and service quality

• Financial strength and operational challenges of merged banks

• Concerns of employees and customers

• Whether further mergers are needed or a consolidation pause is required

Bank mergers are not just structural changes—they affect staff morale, customer access, regional presence, and overall trust in banking. A data-driven, transparent, and consultative approach is essential.

👉 The outcome of this committee will shape the next phase of banking reforms.

#BankMergers #HighLevelCommittee #BankingReforms #PublicSectorBanks #IndianBanking

DA Chart for BANKER FROM FEBRUARY 2026

DA increase from February For serving employees 1.07%

DA increase from February                                  For serving employees 1.07%                                         For retirees 3.87%.

Chart upload very soon

Goldsmith cheats India’s Largest PSU Bank, Fake Gold submitted in SBI

One more gold loan fraud has been reported in banks. This time the fraud has been reported from Panchkula, Haryana.

A man took a gold loan of approximately ₹13.25 lakh by pledging fake gold jewellery to India’s largest public sector bank – State Bank of India (SBI).

Throughout the tenure of loan, no discrepancy was observed. The matter came to light when the loan turned NPA. The bank held an auction to sell the gold and recover money but this turned out to be a big shock to the bank employees. On Auction, the gold was found to be fake and ultimately the bank manager has filed a case against the goldsmith and the accused loan borrower.

Police FIR and Loan Details

Kushan Kumar Saurabh, manager of the State Bank of India (SBI) in Pinjore, Panchkula, has filed a complaint with the police, stating that Sandeep, son of Balbir, a resident of Patel Nagar, Hisar, took a gold loan from the bank.

The accused first visited the bank on October 10, 2024, with gold bangles. Panel goldsmiths Anmol Bansal and Harish Bansal were called to inspect the gold items. The panel goldsmiths confirmed the items as genuine. Based on this confirmation from the goldsmith, the bank sanctioned a gold loan of ₹4,30,000.

What’s more shocking is that the loan was taken thrice by the borrower but nobody could identify the issues with the gold.

The accused visited Bank again on November 16, 2024 to take another gold loan. The bank again called in panel-authorized goldsmiths Anmol Bansal and Harish Bansal. After inspection, they declared the gold genuine. The bank again sanctioned Sandeep a loan of ₹448,000. Similarly, the bank issued a third loan on December 13, 2024.

Loan Turned NPA

Soon the accused borrower stopped depositing money in his loan account and the loan account ultimately turned NPA. The bank auctioned the gold and the bank auctioneer, Laxmi Jewellers, inspected the gold. The jewellers found that the gold was merely gold-plated, leaving everyone shocked.

This incident has raised a very serious question on the functioning and structure of Banks. How can a goldsmith cheat India’s largest public sector bank? This incident states that banks need to place a more strict check on gold loans.

Police can’t freeze Bank Accounts without Court Permission: Delhi High Court

Can Banks freeze your account instantly if they receive a complaint from the police? Right now, in India, this practice is common. Banks freeze accounts instantly on receiving a complaint from the police, but legally, it’s not valid.

The Delhi High Court has ruled that police cannot attach or freeze bank accounts without the approval of the competent court. The court said that freezing of bank accounts is a measure directed at securing alleged proceedings of crime. Such a step cannot be taken under Section 106 of the Bharatiya Nagarik Suraksha Sanhita (BNSS).

The case pertains to Malabar Gold and Diamond Limited. Petitioners are engaged in the business of buying and selling gold ornaments, gold items, gold bars, coins, and precious stones. In July 2024, a company by the name of Dallas E-com Infotech Private Limited approached the petitioners for the purchase of gold items, including gold bars and coins.

It was stated that prior to entering into any transactions, the petitioners undertook due diligence and complied with all applicable Know Your Customer (KYC) norms. It was also stated that the petitioners obtained and verified adequate banking and identification details of the Customer, and the transactions were carried out through regular banking channels.

Between August 2024 and March 2025, multiple transactions were carried out with the Customer, aggregating to approximately Rs. 14,20,74,954.99/-. Subsequently, certain complaints appear to have been registered against the Customer by third parties. It was, however, stated that no complaint, FIR, or proceeding was registered against the petitioners.

According to the petitioners, despite this, and without any verification or finding regarding the petitioners’ involvement or complicity, Police proceeded to communicate directions to Banks, resulting in the freezing of the petitioners’ bank accounts. The State Bank of India (SBI) freezed the account on directions of Police. The company’s accounts were frozen on the basis of police communications linked to alleged cyber fraud by a third-party customer. The petitioners finally approached the court.

The court said – “Attachment or freezing of bank accounts, being measures directed at securing alleged proceeds of crime, can be undertaken only under Section 107 of the BNSS and strictly upon orders of a competent Magistrate, after following the prescribed procedural safeguards,”.

The Court stated that any blanket or disproportionate freezing of bank accounts, particularly where the account holder is neither an accused nor even a suspect in the offence under investigation, is manifestly arbitrary. 

After considering the case, the High Court said that there was no justification for freezing the company’s accounts and ordered their defreezing.

Bank strike stands on 27th January

IBA CALLED UFBU ON 22.01.2026 FOR 5DAYS BANKING