IBA draws plan to measure reform implementation by PSBs
Indian Banks’ Association (IBA) has drawn a plan for measuring implementation of ‘reforms agenda’ by public sector banks on six specified parameters, which include customer responsiveness, credit off-take and digitalization. This assumes significance as the capital infusion in the state-owned banks is directly linked to their performance on reforms front. The government in October last year had unveiled a huge Rs 2.11 lakh crore two-year road map for strengthening NPA-hit government owned banks, which includes re-capitalization bonds, budgetary support, and equity dilution.
Essar Steel resolution case: Arcelor, Numetal may get 7 days to pay dues
The committee of creditors (CoC) in the Essar Steel resolution case met on Saturday and considered giving ArcelorMittal and Numetal seven days to clear outstanding dues to become eligible. The CoC would, however, have to vote on the resolution to complete the process and notices to the companies would be issued thereafter, said sources close to the development. The voting could take place on Monday.
Finance ministry gears up for second round of PSB recapitalization
The finance ministry has begun the process of ascertaining the amount of capital to be infused into public sector banks (PSBs) this financial year as a part of the second round of recapitalization. The department of financial services has written to public sector banks seeking an update on the implementation of the reforms agenda set out by the Centre, which will become an important parameter for allocating funds to banks. “We have asked public sector banks to update us about the implementation of the 30-point reforms agenda by May 11,” said a senior finance ministry official.
NCLT suggests IBBI to review insolvency code regulations to curb misuse
The National Company Law Tribunal (NCLT) has suggested to IBBI that there is a need to review the insolvency code regulations to ensure that they are not “misused or misinterpreted”. It also said that the resolution professional (RP) should be competent and independent so that there are no interruptions in the process which lead to delays in disposal of insolvency cases. Besides, it has said the claims of operational creditors are neglected or ignored as the Committee of Creditors (CoC) has supremacy of the financial creditors (banks and financial institutions) who have control over the entire process.
Chanda Kochhar issue not on ICICI board meet agenda today
The board of ICICI Bank is set to meet on Monday to discuss annual accounts and other “routine” matters. Absent from the agenda is any discussion of the conflict-of-interest accusations against chief executive Chanda Kochhar stemming from loans given to the defaulting Videocon group. To be sure, it could still be debated by board members with the permission of Chairman MK Sharma. “This particular matter is not on the agenda but if a board member wishes to discuss the controversy, it can be done without specifying it under other items,” said one of several people aware of the items listed for the meeting.
About the Author
