Page 3 - Indian Banks Association

IBA seeks probe into possible cartelisation by chip-based card suppliers

The Indian Banks' Association (IBA) has sought a probe by the Competition Commission into possible cartelisation among vendors providing chip-based debit and credit cards to banks. IBA has received complaints of jacking up of card prices by various vendors, citing shortage of chips, and the hike in the prices is in a similar range, raising fears of cartellisation, sources said. Following the complaints, IBA has written a letter to the Competition Commission of India (CCI) seeking a probe into the issue and has also intimated the finance ministry about the matter. According to a senior bank official, last year, 4-5 large card vendors approached lenders saying that shortage of chip has led to an increase in the prices. So, all banks agreed for a rise in the prices of cards from Rs 35 to about Rs 42 per unit, the official added. Three months ago, these vendors again approached the banks, saying the prices have further increased. However, only large private bank agreed for another Rs

Tamilnad Mercantile Bank IPO subscribed 2.9x on strong retail interest

Response muted when compared to previous two IPOs; Lender to issue 15.84 million fresh shares via offering

Top Headlines: FPIs cut stake in BSE firms, pharma eyes $400 bn turnover

The Centre's recent move to impose GST on services rendered by the markets regulator, Securities and Exchange Board of India (Sebi), has rattled FPIs

Centre asks IBA to ready EASE-like plan for regional rural banks

The banks' lobby group has been asked to assist with the preparation of the viability plan for RRBs

IBA seeks bids from advisory firms for designing PSBs development programme

Industry body IBA has invited bids from advisory firms and institutes to design and deliver a leadership development programme for public sector banks (PSBs)

City Union Bank, Shriram Gen Insurance tie up for distribution of products

Shriram will offer personal insurance products such as motor, personal accident, home and travel along with commercial ones such as property, marine and engineering to bank's customers

Bank unions defer June 27 strike as IBA agrees to initiate talks

As per the agreement with IBA, the negotiation talks on various pending issues would begin on July 1

Privatisation process of two PSBs at advanced stage, says DFS Secy Malhotra

While NITI Aayog has suggested names of two banks for privatisation, Centre is yet to make a provision for the divestment of govt stake sale below 51%

NARCL: Procedural delays led to non-transfer of Rs 50k-cr NPAs by Mar 31

Non-performing assets worth Rs 50,000 crore could not be transferred to the National Asset Reconstruction Company Ltd by March 31 due to "procedural delays", a senior bank official said on Wednesday

Covid-19 pandemic: Omicron spread may disrupt growth momentum, says IBA

Impact may not be severe as first, second waves

SBI ex-chief Pratip Chaudhuri arrested, sent to 14-day judicial custody

Case related to bad loan, sale of NPA at low value

UCO Bank chief A K Goel is new IBA chairman, succeeds Union Bank MD

Banks Board Bureau had, in September, proposed Goel's for the forthcoming position of MD-CEO at Punjab National Bank. Centre to take final call on the appointment

Indian Banks' Association to steer 'EASE reforms' in public sector banks

EASE agenda is aimed at institutionalising clean and smart banking

IBA seeks licence to set up Rs 6,000-cr bad bank, RBI nod soon: Report

The Indian Banks' Association (IBA) has moved an application to the Reserve Bank of India (RBI) seeking licence to set up a Rs 6,000-crore National Asset Reconstruction Company Ltd (NARCL) or bad bank, according to sources. NARCL was incorporated last month in Mumbai following the registration with Registrar of Companies (RoC). According to sources, the company after mobilising an initial capital of Rs 100 crore and fulfilling other legal formalities has approached the RBI seeking licence to undertake asset reconstruction business. The RBI in 2017, raised the capital requirement to Rs 100 crore from the earlier level of Rs 2 crore, keeping in mind the higher amount of cash required to buy bad loans. RBI has its process and procedure for granting licence for such business, sources said, adding, it could take next few weeks to obtain licence from the regulator. RBI's approval could come either in September or October, sources added. Legal consultant AZB & Partners has been engaged

Stop penalty on early withdrawal of SCSS in case of death: IBA to banks

Banks asked to capture closure reason in CBS

IBA to soon move application to RBI for setting up Rs 6,000-cr bad bank

Having secured licence from the Registrar of Companies, the Indian Banks' Association (IBA) will soon move an application to the Reserve Bank of India (RBI) to set up a Rs 6,000-crore National Asset Reconstruction Company Ltd (NARCL) or bad bank, according to sources. With registration of the company, the process for putting an initial capital of Rs 100 crore is on as per the guidelines, the sources said adding that the next step will be audit and then move application to the RBI seeking licence for the asset reconstruction company. The RBI in 2017 raised capital requirement to Rs 100 crore from the earlier level of Rs 2 crore keeping in mind higher amount of cash required to buy bad loans. Legal consultant AZB & Partners has been engaged for seeking various regulatory approvals and fulfilling other legal formalities. The initial capital would come from eight banks who have committed, and the NARCL would expand the capital base to Rs 6,000 crore subsequently after the RBI's nod, ..

India sets up bad bank to reduce debt burden, free up lenders

National Asset Reconstruction Company Ltd's paid-up capital is Rs 74.6 crore

NARCL headhunting for core team begins ahead of launch in July

Invites quotes from Aon to help it in the hiring process

IBA reaches out to govt for refund of compound interest waiver by banks

The Indian Banks' Association (IBA) on behalf of lenders has approached the finance ministry to refund the burden fallen on their shoulders due to a recent Supreme Court judgment on the waiver of compound interest on all loan accounts which opted for moratorium during March-August 2020. The March judgment of the apex court directed the banks to waive off compound interest on loans above Rs 2 crore availing moratorium as loans below this got blanket interest on interest waiver in November last year. Compound interest support scheme for loan moratorium cost the government Rs 5,500 crore during 2020-21, and the scheme covered all borrowers including the prompt one who did not avail moratorium. Various banks are at the different stages of executing the order. Punjab & Sind Bank Managing Director S Krishnan said the burden on the bank due to waiver works out to be around Rs 30 crore. The issue of reimbursement of the waiver amount by the government is being pursued by IBA on behalf of

Pre-packaged resolution is a plan good concept, says IBA CEO Sunil Mehta

Under the current Insolvency and Bankruptcy Code (IBC), a time-bound and market-linked resolution framework is permitted