Rajeev Chandrasekhar's official website - Member of Parliament

GOVERNMENT OF INDIA
Ministry of Finance
DEPARTMENT OF FINANCIAL SERVICES

RAJYA SABHA
UNSTARRED QUESTION NO. 29
TO BE ANSWERED ON THE 9th NOVEMBER, 2010/ KARTIKA 18, 1932 (SAKA)
Report oOf Committee on NPAs of Banks Question

 

29. SHRI RAJEEV CHANDRASEKHAR:
Will the Minister of FINANCE be pleased to state:

  1. Whether it is a fact that a committee headed by a Deputy Governor of the Reserve Bank of India (RBI) was recently constituted to look into the ever increasing Non Performing Assets (NPAs) in Banking sector and to suggest measures to reduce the NPAs;
  2. (if so, the details thereof;
  3. Whether the committee has since submitted its report and
  4. If so, the salient features of its recommendations, and if not, by when the committee would submit its report to Government or RBI?

ANSWER
The Minsiter of State in the Ministry of Finance
(Shri Namo Narain Meena)

(a)& (b): The Government had constituted a Committee of Experts under the Chairmanship of Shri Vepa Kamesan, Ex- Deputy  Governor of Reserve Bank of India with following terms of reference:

  1. Assessment of the need for and details of a separate statute to govern the constitution and functioning of Serious Fraud Investigation Office (SFIO);
  2. The nature and details of the legislative changes as may be required in existing laws, to enable effective functioning of SFIO including prosecution of offences detected by it;
  3. The mechanism for referral of cases to SFIO and coordination of activities of SFIO with other agencies/ organizations of the Central and State Governments, including investigating
  4. Powers of SFIO and its investigation officers;
  5. Specification of offences and penalties to enable effective conduct of investigation agencies and the need for Special Courts for trial of Corporate fraud cases; and
  6. Other matters consequential to or in pursuance of the above.

(c)& (d): Yes, Sir. The Committee submitted its report in April, 2009. The Committee, inter- alia, recommended various measures for making SFIO more effective in containing corporate frauds.