Consolidate this position

The RBI deputy governor’s assertion that a nudge from the government may be one way to ensure consolidation among PSBs hits the nail on the head (‘Consolidation among PSBs must be based on synergy of operation’, April 27). . Going by the synergy and systems procedures in place, merging State Bank associates with SBI would trigger PSBs’ consolidation. BOB, BOI, PNB, Union Bank of India, Canara Bank, Indian Bank and others taking the lead would pave the way for this. Perhaps, this could be given shape through some policy announcements. Will there be willingness on the part of those who matter to enable this so as to save administrative costs and ensure rationalisation?

Vazhuthur Raghavan

Bengaluru

Our regulators and government favour consolidation just to figure in the list of large banks; yet we are crazy about giving licences to private banks.

The Indian banking industry’s deposit size is ₹97 lakh crore and lending size is ₹71 lakh crore — this is for 149 scheduled commercial banks (co-operative banks and others not included). Before complaining that our banks do not figure in the top 70 banks list, we should look at the banking size of those that do appear in this list. Let’s not degrade the Indian banking industry.

KBN Rao

Mumbai

Jobless growth

This refers to ‘Decoding India’s jobless growth’ by Ritesh Singh (April 27). There is the Employment Policy Convention 122 of 1964 of ILO which India ratified on November 17, 1998, which prohibits killing of jobs and contains measures to combat unemployment. When trade unions in Cochin Port pointed out that cement companies were killing jobs through automation of the loading operation, the labour department feigned ignorance of the ratified employment policy.

In the context of contractual labour, the department looks elsewhere while employers thwart the Contract Labour (Regulation and Abolition) Act 1970. Even laws pertaining to time off for number of hours worked are being watered down for contract labour in factories. Financial incentives for businesses should be linked to regular decent employment.

KVA Iyer

Kochi

Think Gandhi

The piece on Mahatma Gandhi (‘The Other Need’, April 27) by C Gopinath was excellent.If Gopinath’s sense of guilt while paying a bar bill with a ‘Gandhi note’ is real, the Mahatma may not mind his photos being embossed on credit/debit cards also!

During the 1970s I visited my uncle in Madras; he showed me an enlarged, life-size photograph of his father (my muthassan, maternal grandfather). My uncle asked, “Do you remember muthassan’s face?” I said yes, even though he had gone when I was young. Uncle said the photo did not resemble his father, adding, as if he was consoling himself: “Most of the people who will see this, ‘framed and hanged’ would not have seen him alive!” So, Mahatma Gandhi will be safe on coins and currency notes.

MG Warrier

Mumbai

Excellent piece

Kudos to S Adikesavan for his timely article, ‘Don’t push bankers into indecision’ (April 26). We can find fault with any of the credit decisions taken by bankers. It’s a subjective matter and decisions are taken based on factors prevalent at that time.

Being hounded is unfortunate. This has become a tool to harass honest bankers. Now, younger officials in banks are reluctant to work in credit and existing credit officials are opting out of the credit desk.

Rahul J Gautam

Bengaluru

What are universities for?

The action taken by the JNU administration against its students Umar Khalid, Anirban Bhattacharya, Kanhaiya Kumar and others underlines at least one fact: The students broke disciplinary norms and what they demonstrated can’t be wrapped up in the garb of freedom of expression. Students of government-funded universities, or for that matter any university, need to ponder over their reason for joining a university. Is it to study or to indulge in student unionism and politics giving rise to ‘unscholastic’ activities? Does not the taxpayer have a right to ask questions if student unions ferment campus unrest? Also, their argument that the judgment is casteist is silly. Who among the affected belonged to scheduled caste? Sadly, a vast section of the media presented the incidents as if these were simply a matter of dissent.

P Arihanth

Secunderabad

Bad situation

This is with reference to ‘The story of dwindling loan recovery cases’ by B Yerram Raju (April 27). Despite having many mechanisms to recover money from bad debts, if we still are not able to recover even 20 per cent of the amount involved, then we need to ask serious questions about not only the utilisation of such channels but whether the underline collateral was overvalued at the time of loan initiation. A six-month timeline under DRTs is enough enough time to recover dues but practically nothing is happening. And publishing defaulters’ names is just the first step of embarrassing them, but that alone will not help in recovery, it is just a psychological step. Some concrete and time-bound action has to take place.

Bal Govind

Noida, Uttar Pradesh

Such a farce!

The asset declaration of candidates submitted with their nomination papers is often laughable. According to these documents, some ministers, ex-ministers and ex-MLAs are poorer than a street lottery vendor and beggar. They own neither house nor vehicle, and cash in hand is ₹1,000 or less. On the other hand, their spouses and children are millionaires. Why does the Election Commission encourage this farce? It is time to confiscate all the balance wealth of these people if found wrong on verification.

KA Solaman

Alappuzha, Kerala

That’s the way

The Supreme Court has done well to reject liquor baron Vijay Mallya’s contention that the assets owned by him and his immediate family in foreign countries were a matter of “privacy”. Forcing his hand the apex court also directed Mallya to disclose all his assets to the SBI-led consortium of banks, which sought repayment of loans over ₹9,000 crore. Attorney General Mukul Rohatgi’s contention that Mallya is “a fugitive from justice in India”, and was “playing hide and seek” and was “cooking a cock and bull story” about settling the dues and reasons for non-disclosure of assets could not be better phrased. It is apparent that every effort is going in to take the wind out of Mallya's sails.

NJ Ravi Chander

Bengaluru

Errata

The report, ‘DBS Bank rolls out mobile-only bank in India’ (April 27), erroneously reported that the bank is targeting five billion bank accounts in India instead of five million. The error is regretted.

In the report, ‘IDFC Bank logs ₹417-cr profit in Q4’ (April27), the net profit number for the fourth quarter should read ₹165 crore and not ₹417 crore, which is the net interest income. The error is regretted.

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