RBI Governor Urjit Patel today appeared before a parliamentary panel on finance, which was headed by Congress MP Veerappa Moily, to hold a discussion on various issues including amount of cash returned post demonetization. The recent Punjab National Bank scam was also a topic of conversation between the two parties. The panel asked Patel, about how, the scam, which had continued for a these years, and managed by the brother moguls, Nirav Modi and Mehul Choksi, could go unseen by the authorities. Dinesh Trivedi, TMC MP and a member of the panel had yesterday asked why RBI has been unable to come up with the amount of money that have been given back to the system after the process of Demonetization. He had suggested that the governors should be able to provide statements to the panel.
Urjit expressed confidence, and assured that they’re going to the crisis that is currently plaguing the NPA’s or Non Performing assets. He also told the panel that necessary steps will be taken to ensure the smooth functioning of the Banks, and the security of the assets, money of the public.
As for the NPA crisis, he suggested that the implementation of the Insolvency and Bankruptcy Code (IBC) is going to ease the situation. Lat time when he appeared before the panel, Urjit had to answer about loan restructuring programmes, which made the government to implement greening of loans. He was also asked about the defaults related to the Insolvency and Bankruptcy Code. The panel is comprised of a people from different parties. Former Prime Minister, Manmohan Singh is also a member of the panel, which seeks to explore and question the changes in the workings of the RBI and any sort of instability in its working. So that, the difficulties can be overcome for a better working situation.