BUSINESS
How severe is the bad loan shock awaiting Indian banks?
Two key trends — the recent capital raising spree by a clutch of private sector banks and warning by RBI Governor Shaktikanta Das last week — have alerted banking analysts
BUSINESS
Banking Central: RBI ko gussa kyon aata hai?
Reserve Bank of India's strong comments in the Madras High Court affidavit that no one can blame it for losses in Yes Bank’s AT1 bonds will hurt investor faith in these financial instruments.
BUSINESS
After Yes Bank fiasco, RBI governor sees merit in creating resolution corporation: How critical is the idea?
Yes Bank failed on account of alleged financial irregularities perpetrated by the founder and former CEO, Rana Kapoor and a massive spike in bad loans.
BUSINESS
Axis Bank’s SME business records 6% de-growth in FY20
During fiscal 2020, given the uncertainties on the macro-economic front and the underlying weakness in the economy, the Bank had maintained a cautious stance on SME space,” the bank said in its annual report.
BUSINESS
Exclusive | Yes Bank AT1 bond write-down: RBI says investors can’t blame regulator after enjoying high returns in good times
In an affidavit filed in Madras High Court, RBI said writing off Yes Bank AT-1 Bonds to ensure that the capital infused by SBI and other investors, should not be diluted.
BUSINESS
Jignesh Shah’s 63 Moons Technology, which invested Rs 300 crore in Yes Bank’s AT1 bonds, files court petition against writedown
The company, earlier known as Financial Technologies (India), filed a lawsuit against RBI and Yes Bank for ‘misuse’ of the investment by ‘promise of good returns’
BUSINESS
Loan moratorium is not a loan waiver: MFIs struggle to convince some borrowers
This confusion among borrowers has prompted micro lenders to seek the help of RBI to increase awareness about the impending extra interest burden to those availing the moratorium
BUSINESS
Three back-to-back senior level exits put spotlight back on Dhanlaxmi Bank’s endless Boardroom tussle
At least three people — two former senior executives and one serving board member—confirmed that the resignations at Dhanlaxmi Bank followed differences in the board on policy issues.
BUSINESS
Independent director accuses promoters of Rs 600-crore scam in listed optic fibre maker
Promoters of Aksh Optifibre, a Delhi-based company, accused of creating a byzantine collection of shell companies, entering into undisclosed related party deals, and carrying out gold-plated imports. Independent director shoots letters to finance ministry and board calling for forensic audit.
BUSINESS
Exclusive | Ex-ICICI Bank executive Murali Ramakrishnan likely to be named as CEO of South Indian Bank
If the proposed move fructifies, Ramakrishnan would be the first MD & CEO of South Indian Bank coming on board from a private sector lender.
BUSINESS
Finance Ministry rejects NBFC industry’s request for longer-term liquidity assistance
As per the notification, liquidity instruments under the scheme will have a maturity of only three months
BUSINESS
2 deals, 2 CBI cases: How banks flouted rules while lending to Videocon’s Venugopal Dhoot
Videocon’s loan dealings with banks expose how easily banks could flout norms when approached by a powerful industrialist and raises more questions on the efficacy of safeguards banks and regulators follow to avert corruption in high value loan deals.
BUSINESS
Dhanlaxmi Bank board-room tussle: Following chairman, two more members quit
On Tuesday, K.N Murali, Independent Director and G. Venkatanarayanan, Additional Director resigned from the Board of the Bank with effect from June 29, 2020 citing personal reasons.
BUSINESS
Dhanlaxmi Bank Chairman Sajeev Krishnan quits ahead of his term
According to people familiar with the development, Krishnan resigned from the bank ahead of his term on account of differences with the management.
BUSINESS
A month of Rs 3 lakh crore MSME loan scheme: Sanctions are high but disbursals remain low; here's why
A closer look at the emergency credit line guarantee scheme (ECLGS) numbers show, even though banks have been aggressive in ramping up loan sanctions, the actual disbursements are yet to pick up in a meaningful way.
BUSINESS
India’s MSMEs hit hard by COVID-19: What lies ahead for small entrepreneurs?
MSMEs are the first to take hit in an economic downturn. This time too, many MSMEs are hit hard due to the onslaught of the pandemic. The demand on the ground has slowed to a trickle. Adding to the woes, a good number of skilled workforce has moved back to their home states due to the prolonged lockdown.
BUSINESS
COVID-19 crisis: RBI may agree to one-time loan restructuring scheme for stressed borrowers
If RBI permits this demand, this will be a big relief to NBFC borrowers since economic activities have slowed to a trickle on account of the prolonged lockdown.
BUSINESS
Upset RBI officers knock at Governor Shaktikanta Das's door over new unified cadre, HR bias
In the letter dated 25 June, the RBI Officers’ Association said the recently constituted Specialized Supervisory and Regulatory Cadre (SSRC) will adversely impact the central bank's supervisory functions.
BUSINESS
Annual pay in FY20: HDFC Bank MD Aditya Puri’s Rs 18.9 crore vs SBI Chairman Rajnish Kumar’s Rs 31 lakh
The wage disparity between the public and the private sectors, however, is not limited to banks.
BUSINESS
Explained: Govt gives more teeth to RBI to govern co-operative banks: What does it mean?
There are about 1,482 urban co-operative banks and 58 multi-state co-operative banks in the country which are now being brought under the RBI's watch.
BUSINESS
SBI writes off loans worth Rs 1.79 lakh crore in last four years
The bank recovered Rs 9,250 crore from Advance Under Collection Account in FY20 as against Rs 8,345 crore in FY19. AUCA refers to chronic bad debt cases where recovery is unlikely in the normal course.
BUSINESS
RBI extends Rs 50,000-crore special liquidity facility to Yes Bank for 3 more months
The facility, which was announced earlier for three months till 16 June, was given to the bank as temporary assistance after the lender was bailed out by a bank consortium as part of an RBI-initiated reconstruction package.
BUSINESS
FinMin wants PSBs to cut expenditure by 20%: Good move, but where is the recapitalisation plan?
Government’s directive to PSBs to cut unnecessary expenditure in a crisis scenario is a certainly a good move. But, this will not be enough. PSBs are staring at much bigger capital requirements in the Covid-19 hit economy.
BUSINESS
Former RBI governor Urjit Patel makes peace with government, to join as NIPFP Chairman
Beginning June 22, Patel will begin a four-year term as the Chairperson of the National Institute of Public Finance and Policy, a research body under the control of the ministry of finance.
