Post Views: 371
Private lender
IndusInd Bank
NSE 4.42 % of Monday said its board has approved a proposal to raise Rs 20,000 crore in debt to fund business growth. The bank’s board approved the proposal in its meeting held on Monday, IndusInd Bank said in a statement.
The board approved raising funds through debt securities in any permitted mode on a private placement basis as may be decided, for an aggregate amount not exceeding Rs 20,000 crore.
It can also be raised in foreign currencies as may be necessary subject to the approval of the members of the bank and receipt of other governmental or regulatory approvals, it
said.
States urged to exempt banks from Shop & Establishment Act
The finance ministry has written a letter to all states requesting them to exempt banks from the applicability and provisions of the Shop and Establishment (S&E) Act.
This comes after some banks raised concerns about state governments trying to impose certain regulations on the lenders with regard to their specific labour laws.
A government official said banks had also been advised to raise concerns on the matter through the state-level banking committee or SLBC.
“The Indian Banks’ Association had shared the concern of some banks. We accordingly took up the matter with the state governments,” he said, adding that most states are on board given that banks are regulated entities which follow Reserve Bank of India guidelines.
Each state has its own Shop and Establishment Act, which mostly regulates work conditions of people employed in the shop and commercial establishments, which includes payment of wages, work hours, leave, holidays, and terms of service.
IBA chief executive Sunil Mehta confirmed that the lenders association had brought this issue to the government’s notice. “In a few states where there were some issues, the government has assured full support,” he added.
Another bank executive said that the issues were mostly faced by private sector lenders. “State authorities used to try to enforce timings and state laws on contractual workers,” he said, adding that they will also push through SLBCs to ensure that state governments follow the finance ministry directive.
Under the new labour codes, daily and weekly working hours have been restricted to 12 hours and 48 hours. The four labour codes are: the Code on Wages, 2019; the Industrial Relations Code, 2020; the Code on Social Security, 2020; and the Occupational Safety, Health & Working Conditions Code, 2020.
RBI imposes restrictions on Mumbai-based Raigad Sahakari Bank; withdrawals capped at Rs 15,000
Banking regulator Reserve Bank of India (RBI) today imposed several restrictions on Mumbai-based co-operative bank Raigad Sahakari Bank due to worsening of financial situation of the lender. The restrictions include a withdrawal cap of Rs 15,000 per customer and it will remain in force for a period of six months.
“In particular, a sum not exceeding Rs 15,000 of the total balance across all savings bank or current accounts or any other account of a depositor, may be allowed to be withdrawn,” the Reserve Bank said in a statement.
The RBI, however, said the restriction issued to Raigad Sahakari Bank should not per se be construed as cancellation of banking license.
“The bank will continue to undertake banking business with restrictions till its financial position improves,” it said.
The Reserve Bank also said it may consider modifications of the directions depending upon circumstances.
In another statement, the RBI said a penalty of Rs 6 lakh on Shri Chhatrapati Rajarshi Shahu Urban Co-operative Bank Limited, Beed, for contravention of provisions related to ‘Frauds – Classification and Reporting’.
Odyssey has been the lead content writer and content marketer. He has vast experience in the field of writing. His SEO strategies help businesses to gain maximum traffic and success.
