Chit Funds sore about amendment bill, say it won't safeguard public money

Industry says bill will fail in objective of bringing unorganised players into organised net

The Rs 500-billion chit fund industry has expressed its disappointment with the Chit Funds (Amendment) Bill, 2018, cleared by the Union Cabinet on Tuesday to act upon unregulated deposit schemes. The industry has alleged that the Bill in its current form will not serve its main objective of bringing unorganised chit players into the organised net.

The Union Cabinet, chaired by the Prime Minister, approved the introduction of the Chit Funds (Amendment) Bill, 2018 in Parliament on Tuesday. The Bill seeks to facilitate orderly growth of the chit fund sector and remove bottlenecks faced by the industry, thereby enabling greater financial