Dearness Allowance for workmen and officer employees in banks

ayable for the months	Average CPI	No. of slabs	% of pay	% Difference
February,March,April 2024	9122.33	693	48.51	0.0
November,December 2023 & January 2024	9124.0	693	48.51	4.27
August,September,October 2023	8881.0	632	44.24	2.52
May,June,July 2023	8738.0	596	41.72	0.56
February,March,April 2023	8705.0	588	41.16	2.24
November,December 2022 & January 2023	8576.69	556	38.92	2.1
August,September,October 2022	8456.17	526	36.82	3.78
May,June,July 2022	8241.42	472	33.04	0.07
February,March,April 2022	8239.24	471	32.97	2.59
November,December 2021 & January 2022	8088.04	434	30.38	2.59
August,September,October 2021	7941.22	397	27.79	2.1
May,June,July 2021	7818.51	367	25.69	0.49
February,March,April 2021	7849.19	374	26.18	55.72
November,December 2020 & January 2021	7716.13	819	81.9	4.4
August,September,October 2020	7540.0	775	77.5	1.4
May,June,July 2020	7486.9	761	76.1	0.2
February,March,April 2020	7479.29	759	75.9	4.2
November,December 2019 & January 2020	7311.0	717	71.7	3.6
August,September,October 2019	7167.33	681	68.1	3.6
May,June,July 2019	7023.0	645	64.5	3.4
February,March,April 2019	6885.0	611	61.1	0.4
November,December 2018 & January 2019	6871.0	607	60.7	6.6
August,September,October 2018	6604.0	541	54.1	1.2
May,June,July 2018	6559.0	529	52.9	0.2
February,March,April 2018	6551.0	527	52.7	1.1
November,December 2017 & January 2018	6505.0	516	51.6

Privatization: Government Aims to earn Rs.10,000 crore through monetization of ports

The government has put forth a plan to monetise assets worth Rs 10,000 crore in the current fiscal year, with the aim of increasing the share of public-private partnership (PPP) in ports. This move is part of the government’s broader strategy to enhance the involvement of private players in the development and operation of ports.

According to reports, the Ministry of Ports, Shipping and Waterways has submitted a pipeline of Rs 10,000 crore to NITI Aayog, which serves as the central think tank and nodal government body for asset monetisation. This pipeline comprises five to seven projects that are targeted for monetisation.

The report also highlights that Shipping Secretary TK Ramachandran recently expressed the government’s objective to raise the share of PPP in government-owned ports to 80 percent by the end of the decade.

While the newly identified projects constitute only a small portion of the shipping ministry’s pipeline for the fiscal year 2025, the focus remains on expediting the progress of pending mega projects.

In October last year, Finance Minister Nirmala Sitharaman emphasized the need for the shipping ministry to expedite the monetisation process of identified projects. During the Global Maritime India Summit 2023 in Mumbai, Sitharaman stated that out of the 12 major ports, nine have at least 31 projects that have been identified and approved for asset monetisation. She estimated that the monetisation of these projects could generate approximately Rs 14,483 crore.

The government’s push for increased PPP in ports through asset monetisation reflects its commitment to leveraging private sector participation to drive growth and development in the maritime sector.

Indians lost more than Rs.1,750 crore to cyber fraud in first four months of 2024

According to data from the Indian Cyber Crime Coordination Centre (I4C), Indians lost more than Rs 1,750 crore to cyber criminals in the first four months of 2024. During this period, over 7 lakh 40 thousand cybercrime complaints were registered on the National Cybercrime Reporting Portal, which is run by the Ministry of Home Affairs. The number of cybercrime complaints registered per day in May 2024 averaged around 7,000, representing a significant increase compared to previous years.

Increase in Cybercrime Cases

The number of cybercrime cases in India has been steadily rising over the years. In 2019, there were 26,049 registered complaints, which increased to 2,57,777 in 2020, 4,52,414 in 2021, 9,66,790 in 2022, and 15,56,218 in 2023. In the first four months of 2024 alone, 7,40,957 complaints were registered. This upward trend indicates the growing prevalence of cybercrime in the country.

Types of Cybercrime

The majority of cybercrime cases in India involve financial online frauds. In fact, 85% of the registered complaints in the first four months of 2024 were related to financial frauds. Some of the common methods used by cybercriminals include online investment fraud, gaming apps, algorithm manipulations, illegal lending apps, sextortion, and OTP forwards. Investment scams accounted for over 1 lakh reported cases in 2023, resulting in a loss of ₹1.2 billion. Trading scams were also prevalent, with 20,043 cases reported and a loss of ₹14.2 billion during the same period.

Efforts to Combat Cybercrime

The Indian Cyber Crime Coordination Centre (I4C) was established by the Ministry of Home Affairs to provide a framework for law enforcement agencies to deal with cybercrime. The I4C is actively working with various organizations, including the Reserve Bank of India (RBI), Department of Telecommunications (DOT), and Fintech Companies, to address issues such as the use of mule accounts and abuse of telecom infrastructure by cybercriminals. They are also monitoring and blocking cybercrime infrastructure, such as Skype accounts, Google and Meta advertisements, SMS headers, SIM cards, and bank accounts.

In conclusion, cybercrime in India has been on the rise, with significant financial losses reported in recent years. Financial online frauds are the most common type of cybercrime, and efforts are being made by the Indian Cyber Crime Coordination Centre (I4C) to combat this issue.

Delhi High Court Quashes Demand for Refund, Grants Terminal Benefits to Employee

The Delhi High Court has dismissed the request for a government employee to refund the excess amount he was paid, stating that his terminal benefits will be determined by granting him the benefits of the higher scale he was previously on.

The employee, who was initially hired as a Senior Research Assistant and later re-designated as an Economic Officer in the project appraisal division, was promoted to the position of Research Officer on an ad hoc basis in 1996. Despite the temporary nature of this promotion, the employee continued to serve in this role for over 14 years, receiving a higher salary accordingly.

A Division Bench consisting of Justice Rekha Palli and Justice Saurabh Banerjee stated, “we overturn the challenged order and grant the writ petition by directing that the demand made by the respondents for the refund of the differential higher amount paid to the petitioner for the period between 13.07.2010 to 06.03.2013 will be dismissed. Furthermore, taking into account his long service of over 14 years as a Research Officer, the petitioner’s terminal benefits, including pension, will be determined by granting him the benefits of the higher scale he received during his tenure as a Research Officer. However, he will not be entitled to the pay of the Research Officer from which post he stands reverted.”

Advocate Shiva Sharma represented the petitioner, while CGSPC Vivek Goyal appeared for the respondents.

The Center decided to revert Makwana back to his original position as an Economic Officer, resulting in a decrease in his salary. Additionally, the authorities sought to recover the excess salary paid to him during his time as a Research Officer. The employee challenged this reversion and the subsequent recovery orders, seeking the reinstatement of his previous salary and protection from the recoveries.

The employee’s application was rejected by the Central Administrative Tribunal (CAT). He then approached the High Court, which took into consideration his extensive service in the higher position without any wrongdoing or misrepresentation on his part.

The High Court acknowledged that while the reversion to his previous position was not in dispute, the significant duration of service in the higher position warranted special consideration. It was noted that the employee had served as a Research Officer for over 14 years without any complaints and was nearing retirement.

“We must not overlook the fact that the petitioner worked in a higher position for over 14 years, during which time he not only received a higher salary but also had no complaints against him at any stage. In these circumstances, combined with the fact that he is now nearing retirement, the respondents should consider releasing his terminal benefits by taking into account the higher salary he received during his 14 years as a Research Officer,” the Court stated.

Referring to the precedent set in the Supreme Court case of Badri Prasad v. Union of India (2005) 11 SCC 304, the Court emphasized the need to balance equities. The Court concluded that the employee’s terminal benefits, including pension, should be calculated based on the higher salary he received as a Research Officer.

South Africa imposed penalty on State Bank of India

The Prudential Authority, which serves as the central bank of South Africa, has taken disciplinary action against the State Bank of India (SBI) for violating the country’s anti-money laundering laws. SBI has been penalized with a fine of 10 million rand (approximately Rs 4.5 crore) for failing to comply with certain provisions of the Financial Intelligence Centre Act.

According to SBI’s statement to the exchanges, the penalty was imposed under Section 45C of South Africa’s Financial Intelligence Centre (FIC) Act 38 of 2001. This section grants the FIC the authority to issue directives to ensure compliance with the Act and take measures to address money laundering concerns.

SBI has confirmed that it promptly paid 5.5 million rand (approximately Rs 2.5 crore) as part of the penalty imposed by the South African branch. Additionally, the bank will pay the remaining 4.5 million rand (approximately Rs 2 crore) in installments over a period of 36 months, as per the prescribed timeline.

It’s worth noting that in 2018, another public sector lender, Bank of Baroda, closed its operations in South Africa due to regulatory issues related to transactions in accounts controlled by the Gupta Brothers. The controversy surrounding the Gupta Brothers ultimately led to the resignation of then-president Jacob Zuma.

Bankers paid upto Rs.2 lac to provide fake accounts to fraudsters

In less than four months, 13 bankers in India have been arrested by security agencies for assisting cybercriminals in siphoning money from the public. These arrests have shed light on how these bankers are aiding cyber cons in their fraudulent activities.

In the most recent case, a former deputy manager of Yes Bank in Mumbai was arrested for allegedly providing cybercriminals access to five bank accounts in 2022. The individual, identified as Yusuf Mohammad Chand Shaikh, worked at Yes Bank’s Kurla branch until a month ago.

The investigation began after a marketing executive from Manesar filed a case in 2022, reporting a fraud of Rs 45 lakh. The executive had been approached by an online user claiming to be a South Korean woman named Anxi, who convinced him to invest in cryptocurrency. When the executive tried to withdraw his investment, he was asked to pay an additional Rs 25 lakh. It was later discovered that the website he used for investment was a copy of a well-known Korean crypto-trading portal.

During the investigation, police found that Rs 19 lakh of the lost amount was transferred to a Yes Bank account belonging to a daily wage earner in Mumbai. However, the person claimed that he did not open any account. Further investigation led to the identification of Yusuf Mohammad Chand Shaikh, who allegedly opened the account illegally without following KYC norms.

According to reports, previous cases have also revealed that bankers were involved in opening fake accounts for cybercriminals. These bankers charged commissions ranging from Rs 10,000 to Rs 2 lakh per account.

It is important to note that these arrests highlight the need for increased cybersecurity measures in the banking sector to protect customers from cyber fraud.

IRDAI released some new rules for Insurance Companies, Check Here

The Insurance Regulatory and Development Authority of India (IRDAI) has recently released a master circular that outlines operational and procedural aspects to be followed by all insurers. One of the key requirements stated in the circular is that insurance companies must obtain prior approval for the appointment of their Board Chairperson.

Key Points from the Circular

• The circular, titled “Master Circular on Corporate Governance for Insurers, 2024,” is applicable to all insurers in India, except foreign companies engaged in re-insurance business through a branch established in the country.
• The circular has immediate effect, but insurers have until June 30, 2024, to ensure compliance with its provisions. However, specific timelines mentioned in the circular for certain compliances will remain unchanged.
• The new framework aims to enhance the governance capacity of key stakeholders, including the Board, Senior Management, and Key Persons in Control Functions, to effectively and prudently manage the business of insurers.
• The Board of Directors of insurers must ensure an optimal composition of Independent Directors and Non-Executive Directors, with a minimum of three independent Directors.
• The quorum for board meetings should be either one-third of the total board strength or three directors, whichever is higher.
• The circular emphasizes the importance of having competent and qualified Directors on the Board who can drive strategies to sustain growth and protect the interests of stakeholders, especially policyholders.
• Insurers are required to implement a “whistle-blower” policy that allows employees to raise concerns internally about potential irregularities, governance weaknesses, financial reporting issues, or other relevant matters. Employees can report such concerns confidentially to the Chairperson of the Board, a Committee of the Board, or the statutory auditor.

Conclusion

The master circular issued by the IRDAI introduces new guidelines for insurers in India to enhance their corporate governance practices. By ensuring the appointment of qualified Directors, establishing a robust whistle-blower policy, and complying with other provisions outlined in the circular, insurers will be better equipped to manage their businesses effectively and protect the interests of stakeholders, including policyholders

Canara Bank Officers’ Organisation has announced strike against unfair practices

Canara Bank Officers’ Organisation has announced strike against unfair practices. The organisation had announced strike against discriminatory transfers, work life balance, rising apathy and toxicity at workplace and prejudiced disciplinary actions, etc.

Govt to introduce new rules for Merger, Check new guidelines here

The Competition Commission of India (CCI) is set to release a new set of merger regulations, according to CCI Chairperson Ravneet Kaur. These regulations will implement amendments to the competition law that were passed last year. Over the past year, the CCI has been working on developing a regulatory framework under the Competition (Amendment) Act, 2023, which aims to address the challenges to competition in the market by incorporating global best practices.

The new regulations cover various aspects, including negotiated settlements with businesses involved in anti-competitive practices, regulations for mergers and acquisitions based on deal value, and an expanded leniency program to encourage cartels to confess. The next step in the process is the introduction of merger regulations. Kaur stated, “We are now in the process of notifying the new merger control regulations.”

Key Features of the Proposed Merger Regulations

The proposed merger regulations will clarify how the value of a transaction should be assessed to determine whether it requires CCI approval. Additionally, these regulations will streamline the merger review process by reducing the maximum time allowed for a decision from 210 days to 150 days. This provision was also introduced in the law last year.

The regulations are expected to be released after the model code of conduct is lifted following the polls. The government needs to notify certain provisions of the amended law. Under the amendments made to the competition law last year, CCI approval is required for any transaction valued at more than ₹2,000 crore, even if the deal does not meet the asset and sales threshold for merger regulations. The amendments also establish that CCI must provide an initial assessment of a deal within 30 days; otherwise, it will be considered approved.

Revamping Competition Laws in the Digital Economy

Chairperson Kaur highlighted how the emergence of new-age markets, particularly the digital economy, has prompted a global overhaul of competition laws. The complexities arising from the digital economy have challenged traditional competition law frameworks. Countries and economic blocs worldwide have responded by adapting domestic laws or introducing new regulations specifically targeting digital markets. There has been an increased focus on scrutinizing digital technology companies globally.

In line with this, the Ministry of Corporate Affairs in India is currently working on a Digital Competition Bill that will establish a set of guidelines for systemically important digital economy firms. The public consultation on the draft bill has concluded, and inter-ministerial consultations will take place over the next few months before it is presented to parliament.

Market Study on Artificial Intelligence

In addition to the proposed merger regulations and the Digital Competition Bill, the CCI is initiating a market study on artificial intelligence (AI). Kaur emphasized that while AI has the potential to drive competition, there are also concerns about its impact. The study aims to develop a comprehensive understanding of the emerging competition landscape in relation to AI. Kaur expressed the need for regulation in digital markets to prevent a scenario where a small number of companies dominate the market, often referred to as a “winner-takes-all” situation. Companies that accumulate significant amounts of data also raise concerns about competition, as control over large datasets can create barriers to entry.

Attorney General’s Perspective

During an event commemorating the 15th foundation day of the CCI, Attorney General for India R. Venkataramani acknowledged the importance of data and the internet as the new currency. He highlighted the actions taken by competition regulators worldwide against data gatekeepers. In India, the current debate revolves around the draft Digital Competition Bill, where the CCI must decide between two methods of regulatory action: investigation and sanctions, or bans and prohibitive rules.

The initiatives undertaken by the CCI, such as the new merger regulations, the Digital Competition Bill, and the market study on AI, demonstrate India’s commitment to adapting competition laws to address the challenges posed by the digital economy and emerging technologies.

Bank Employee Arrested for Opening Fake Accounts

A deputy manager of a private sector bank in Mumbai has been arrested by the police for allegedly opening fake bank accounts to assist cyber fraudsters in meeting their targets. The accused, Yusuf Mohammad, was apprehended on Monday.

According to officials, the cyber fraudsters had illicitly transferred ₹19 lakh into the bank account provided by Mohammad. It is believed that he had facilitated similar fraudulent activities through around five bank accounts.

Priyanshu Dewan, Assistant Commissioner of Police (cyber), stated that five individuals have been arrested in connection with the case so far. Additionally, 12 bank employees who were involved with cyber criminals had previously been apprehended. The authorities are currently interrogating the accused.

The investigation into the case began after a complaint was filed in November 2022 regarding a ₹45 lakh cheating incident related to investments in the cryptocurrency market through a fake website. The Gurugram cyber crime (east) police station registered a case based on the complaint.

Inspector Savit Kumar led a team of cyber police in the investigation, which ultimately led to the arrest of Yusuf Mohammad, a resident of Andheri, Mumbai. During the interrogation, Mohammad confessed to opening a fake bank account to assist fraudsters in achieving their targets.

HDFC Bank Sells Entire Stake in Protean eGov Technologies for Rs 150 Crore

On Tuesday, HDFC Bank, a private sector lender, sold its entire 3.20% stake in Protean eGov Technologies for Rs 150 crore through an open market transaction. According to data from the Bombay Stock Exchange (BSE), HDFC Bank sold 12,94,326 shares, representing a 3.20% stake in Protean eGov Technologies. The shares were sold at an average price of Rs 1,160.15 per share, resulting in a total transaction value of Rs 150.16 crore.

In contrast, Nippon India Mutual Fund purchased 12.78 lakh shares, equivalent to a 3.16% stake in Protean eGov Technologies, for Rs 148 crore. The shares were acquired at an average price of Rs 1,160 per share, making the deal size Rs 148.28 crore, according to BSE data. Unfortunately, details regarding the other buyers are not available.

On Tuesday, the shares of Protean eGov Technologies increased by 0.84% and closed at Rs 1,205.60 per share on the BSE

Narayanan Vaghul, architect of modern banking in India, dies at 88*

*Narayanan Vaghul, architect of modern banking in India, dies at 88* 

A Padma Bhushan awardee, Vaghul is considered as the ‘Bhishma Pitamah’ of banking in the country.

At the age of 39, Vaghul was offered the position of Executive Director at the Central Bank of India. In 1981, he became the youngest Chairman of Bank of India at the age of 44.

It was Vaghul who introduced the concept of credit rating in the country and in 1987 established Crisil (Credit Rating Information Services of India Ltd). He was the recipient of many prestigious awards.

He joined ICICI Limited as the Chairman and CEO in 1985. Under his leadership, ICICI transformed from a development bank to the second largest commercial bank of the country.

RBI DIVIDEND TRANSFER TO GOVERNMENT

RBI Dividend Transfer to Government

FY 2012-13 Rs33,110 crore

FY 2013-14 Rs52,679 crore

FY 2014-15 Rs65,896 crore

FY 2015-16 Rs65,876 crore

FY 2016-17 Rs30,659 crore

FY 2017-18 Rs50,000 crore

FY 2018-19 Rs176,051 crore

FY 2019-20 Rs57,128 crore

FY 2020-21 Rs99,122 crore

FY 2021-22 Rs30,307 crore

FY 2022-23 Rs87,416 crore

FY 2023-24     Rs2,10,874 crore

Leave Encashment is Right of Employees: Bombay High Court

The Bombay High Court has recently made a significant ruling regarding the entitlement of employees to leave encashment. In a case brought before the court by two individuals who had dedicated over three decades of service to Vidarbha Konkan Gramin Bank, the court held that leave encashment is not a mere favor from the employer, but a rightful entitlement of the employee.

Leave Encashment: A Right, Not a Bounty

The Division Bench of Justice Nitin Jamdar and Justice MM Sathaye emphasized that leave encashment should be considered as part of an employee’s salary and property. Depriving an employee of this property without a valid statutory provision would be in violation of Article 300 A of the Constitution of India. The court declared that if an employee has earned leave and chooses to accumulate it, the encashment of unutilized leave becomes their right.

The Petitioners’ Case

The petitioners, Dattaram Sawant and Seema Sawant, approached the court seeking the encashment of their privilege leaves, which had been rejected by Vidarbha Konkan Gramin Bank. After resigning from their positions, their superiors accepted their resignations and issued them experience certificates. However, when they requested the encashment of their credited privilege leave, the bank informed them that the facility for encashment had been established only after their resignation dates, thus denying them the benefit.

The Court’s Decision

The Court found the bank’s denial of encashment to be arbitrary and unsustainable. It emphasized that the accrued right to encashment cannot be dismissed by the bank. As a result, the Court ruled in favor of the petitioners, stating, “The refusal by the Respondent-Bank to extend the benefit of encashment of privilege leave is arbitrary and cannot be sustained.” The Court ordered the bank to calculate the amounts payable to the petitioners for leave encashment, along with interest at the rate of Rs.6% per annum, and directed them to make the payment within six weeks from the date of the ruling.

Conclusion

This ruling by the Bombay High Court serves as an important recognition of employees’ rights and entitlements. It establishes that leave encashment is not a discretionary benefit but a rightful claim that should be honored by employers. The decision provides clarity and protection to employees seeking their due benefits, ensuring that they are treated fairly and in accordance with the law.

Couple arrested for taking car loan using fake documents

In a recent development, the Delhi Police has successfully apprehended a husband-and-wife duo, Deepak Goyal and Chanchal Goyal, for their alleged involvement in multiple cases of cheating amounting to crores of rupees. The investigation was initiated after Sanjeev Kumar, the chief manager of Allahabad Bank (now Indian Bank), filed a complaint against the couple and their associate, Vinay Aggarwal.

The complaint stated that the accused had cheated the bank by obtaining a car loan of Rs. 18.25 lakh using forged documents from a fictitious car dealership called Charu Motors. As the investigation progressed, it was revealed that the couple had also obtained three more car loans from Allahabad Bank using counterfeit documents.

The police traced the bank details of Charu Motors, which ultimately led them to Chanchal. On May 14, she was arrested in Rohini. Deepak, who was already in judicial custody at Tihar Jail, was formally arrested on May 17.

Further investigation unraveled the extent of their fraudulent activities. It was discovered that the couple had taken multiple car loans from Allahabad Bank’s BD Estate Branch, resulting in a wrongful loss of Rs. 49 lakh for the bank. Additionally, they had also acquired multiple home loans by mortgaging properties. The Central Bureau of Investigation (CBI) had already registered a case (RC-219/2013/E-0005) against them for allegedly cheating Punjab and Sindh Bank of approximately Rs. 4.5 crore.

The modus operandi employed by the accused involved fabricating documents for Charu Motors, applying for car loans, and then depositing the demand drafts into a fraudulent bank account under the name of Charu Motors in Mumbai. Once the funds were transferred to this account, they were subsequently redirected to other accounts.

The Delhi Police’s successful apprehension of Deepak Goyal and Chanchal Goyal marks an important milestone in their ongoing efforts to combat financial fraud. This case serves as a reminder of the importance of vigilance and thorough investigation in uncovering such deceitful activities. The authorities are committed to bringing all those involved to justice and ensuring that the victims receive the restitution they deserve.

BJP Leader fights with Bank Employees over NPA Loan

 In Bareilly, a BJP leader’s account became a non-performing asset (NPA) due to non-payment of a loan.

The bank team, accompanied by the police, visited the BJP leader’s residence to post a notice regarding the loan default. However, the BJP leader reportedly behaved inappropriately towards the team, prompting the bank manager to file a complaint at the Subhashnagar police station. Despite the incident, the notice was successfully posted.

Loan Details and Alleged Misbehavior

The manager of the Punjab and Sindh Bank Civil Line branch revealed that the BJP leader, residing near Balaji Pulia, had taken a Rs 25 lakh loan for business purposes. As a result of non-payment, the account turned into an NPA. Despite multiple notices, the loan remained unpaid, leading the bank to initiate possession proceedings.

On Saturday, the bank team, accompanied by the police, arrived at the mortgaged property, where an alleged altercation took place. Reports suggest that the BJP leader engaged in misbehavior, leading to a scuffle and commotion with the bank employees. Video footage of the incident has also circulated widely.

Conflicting Reports and Notice Posting

In response to the incident, the bank manager lodged a complaint at the Subhashnagar police station. However, the in-charge of the police station, Satish Kumar Rai, stated that no such complaint had been filed. Nevertheless, the notice was successfully posted in the presence of the police, despite initial opposition that eventually subsided.

Rs.11 crore fraud in Bank of Baroda, Property of Manager seized

 In the investigation of a fraud case registered by the Chandigarh CBI against Manjeet Singh, Chief Manager of a Bank of Baroda branch located in Gohana, and others, a major revelation has been made. The investigation has revealed embezzlement of about Rs 9.18 crore.

The Chandigarh Zonal Enforcement Directorate has taken action based on the report and has attached agricultural land worth about Rs 5.92 lakh belonging to the accused bank manager and others. Additionally, efforts are being made to confiscate other properties of the accused and the amount deposited in bank accounts. The Enforcement Directorate has also presented its report in the CBI court.

The case was registered by the Chandigarh CBI in February 2021, based on a complaint by Satyaprakash, Regional Assistant Manager of the Karnal Division of Bank of Baroda. The complaint was filed against Manjeet Singh, Chief Manager of Bank of Baroda’s Gohana branch, and later the Rohtak branch, along with others. The case was registered under sections 409, 467, 471, 477A of the Indian Penal Code (IPC) and sections 120B and the Prevention of Corruption Act.

According to the complaint, the fraud involved the opening of five loan accounts in the bank. These loan accounts were linked to the accounts of 163 consumers who had made fixed deposits (FD) in the bank as a guarantee. The loan account’s withdrawal limit was later increased from Rs 21,000 to Rs 2 crore, and more than Rs 11 crore was transferred wrongly. The fraud continued even after Manjeet Singh was transferred from Gohana to Rohtak.

During the investigation, the Delhi CBI team seized documents from the Gohana branch of Bank of Baroda and recorded statements from consumers and staff members. Consumers stated that they had no knowledge of the loan accounts being opened.

The Enforcement Directorate’s investigation revealed that the accused chief manager, Manjeet Singh, carried out the fraud by deceiving the bank staff. He took a loan of Rs 11 crore against the fixed deposits of 163 people through five fake accounts in the names of his wife, relatives, and others. The manager also transferred Rs 39 lakh from a consumer’s Loan Over Draft Against Bank on Deposit (ODBOD) account to his ICICI account. The investigation further revealed that no loan documents were found in either the Gohana or Rohtak bank branches related to the mentioned ODBOD accounts opened by Manager Manjeet Singh.

Bank wise PLI FOR THE FINANCIAL YEAR 2024_2025

1. Bank of Maharashtra - 15 days PLI 

2. UCO Bank - 5 days PLI 

3. Central Bank of India - 5 days PLI

4.  Indian Bank - 10 days PLI 

5.  SBI -  10 days PLI 

6.  PNB  -  10 days PLI 

7.  IOB -  10 days PLI 

8-BOB- 15 days PLI

Officers of LIC ARE FAR AHEAD OF BANK OFFICES IN CURRENT WAGES REVISION SEE DETAILS

Banker Body Meet against sc ruling on interest free loans

Home Loan Outstanding Hits Record High of Rs 27.23 Lakh Crore

According to data from the Reserve Bank of India (RBI) on ‘Sectoral Deployment of Bank Credit’, outstanding credit in the housing sector in India has increased by nearly Rs 10 lakh crore in the last two fiscal years. As of March 2024, the credit outstanding in the housing sector stood at a record Rs 27.23 lakh crore. This growth can be attributed to the strong revival of the residential property market following the COVID-19 pandemic, driven by pent-up demand.

Growth in Housing Credit and Real Estate Market Revival

The data from RBI shows that credit outstanding to the housing sector, including priority sector housing, has increased from Rs 19.88 lakh crore in March 2023 to Rs 27.22 lakh crore in March 2024. In March 2022, the credit outstanding was Rs 17.26 lakh crore. Additionally, credit outstanding towards commercial real estate stood at Rs 4.48 lakh crore in March 2024, compared to Rs 2.97 lakh crore in March 2022.

Experts from the banking and real estate sectors attribute this growth to the housing boom seen across all segments, with a particular emphasis on the affordable housing segment. They also mention the pent-up demand for buying homes in the last two years following the COVID-19 pandemic.

Factors Driving the Growth

Madan Sabnavis, Chief Economist with Bank of Baroda, highlights the government’s push for affordable housing as a key factor driving the high growth in  home loans. He also mentions that the growth rate of  home loans might taper down due to a higher base, but the segment is expected to remain robust.

Samir Jasuja, CEO and MD of PropEquity, a real estate data and analytics company, points out that the rise in housing loans outstanding is primarily due to the significant increase in the number of properties launched and sold in the last two fiscal years. He explains that major Tier-1 cities have witnessed high rates of price appreciation, contributing to an increase in the average loan size per property.

Strong Demand for Residential Real Estate

The demand for residential real estate in India has remained strong since 2022, after a period of subdued sales and stable prices that lasted for over a decade. The sector suffered from disruptions caused by the new realty law RERA, GST, and demonetization, which resulted in a trust deficit. However, the sector bounced back following the COVID-19 pandemic as the importance of home ownership was emphasized

Industry experts believe that the Indian real estate sector, which supports more than 200 ancillary industries, including cement and steel, will reach a milestone of USD 1 trillion by 2030.

Expectations and Outlook

Karthik Srinivasan, Senior Vice President and Group Head at rating agency ICRA, notes that retail housing loans deployed by banks have significantly increased in FY’24 due to the merger of Housing Development Finance Corporation Ltd (HDFC) with HDFC Bank. He expects  housing finance to grow by 12-14 percent annually in the near-to-medium term, supported by buoyant demand.

Aakash Ohri, Jt Managing Director of DLF Home Developers, highlights the unprecedented surge in demand for homes in the past two years, especially in the aftermath of COVID-19. He emphasizes the shift in people’s perception of homeownership and the value of having a place to call home. Ohri attributes the growth in  home loan advances to favorable government policies, attractive financing options, and the growing aspirations of the populace for homeownership

Mohit Jain, Managing Director of Krisumi Corporation, mentions the surge in demand for spacious homes with dedicated workspaces and outdoor spaces. He believes that the long-term outlook for the housing market remains strong, leading to strong growth in  home loans.

Realtors’ Demands for Housing Boost

To further boost housing demand, real estate industry bodies CREDAI and NAREDCO have been urging the government to increase tax incentives on  home loans. They propose enhancing the deduction allowed on payment of interest on home loans from the current Rs 2 lakh to Rs 5 lakh.

Overall, the housing sector in India has experienced significant growth in credit outstanding, driven by a revival in the real estate market and increased demand for residential properties. The sector is expected to continue its upward trend, supported by favorable government policies and strong aspirations for homeownership.