New Delhi: From bank accounts to FDs and even lockers, the Banking Laws (Amendment) Bill is expected to help the middle class plan their succession with ease, said BJP MP Sambit Patra. While criticising the UPA government for handing over an NPA-plagued banking sector to the Modi government, Patra said the new bill brings in much-needed reforms.
He criticised the Congress Party for indulging in ‘phone banking system’ for the disbursal of NPA-prone loans.
Banking sector nomination rules
Patra upheld the importance of the amendment to banking sector laws, which allowed for successive and proportional nomination in bank accounts, fixed deposits and lockers which is expected to reduce litigation in the event of an accountholder’s death. Currently, only one nominee is allowed in bank accounts and related instruments.
Why Opposition was angered by Nagarwala case
Patra brought up the Nagarwala case in which it was alleged that the late Prime Minister Indira Gandhi told the Parliament branch bank manager of SBI to disburse a Rs 60 lakh loan to R S Nagarwala. To be sure, the allegations were never proven and the Opposition was riled by Patra’s reference to the case to make his point about banking sector mismanagement under the Congress Party.
DMK member A Raja called the allegations baseless and asked whether the case was part of the amendment tabled in Parliament. Patra responded stating that Nagarwala case is a foundational case of banking sector reforms. BJP MP Sambit Patra explained how the Banking Laws (Amendment) Bill will help the middle class in offering their subscription. The speech and explanation led to a furore in Parliament. Here’s why Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
