Cabinet gives teeth to Bill to check illegal deposits

The changes include severe punishment and heavy fines for unregulated deposit takers.

Published: 07th February 2019 09:26 AM  |   Last Updated: 07th February 2019 09:26 AM   |  A+A-

By Express News Service

NEW DELHI: in a move aimed at protecting gullible small-time depositors from phoney chit funds, the Centre on Wednesday approved amendments to the Banning of Unregulated Deposit Scheme Bill, 2018. The changes include severe punishment and heavy fines for unregulated deposit takers.

The amendments suggest a total ban on deposit takers from promoting, operating, issuing advertisements or accepting deposits in any unregulated deposit scheme. 

The Bill also has provisions to attach promoters’ properties and use the money to repay depositors. 
The Bill was introduced in Parliament on July 18, 2018 and was referred to the Standing Committee on Finance, which submitted its report to Parliament on January 3 this year. 

Stay up to date on all the latest Nation news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp