Apropos ‘Tightening the screws on wilful defaulters’ (November 21), the RBI must be lauded for its move to penalise defaulters, while providing the entity a new start on successful resolution under the IBC.
Notably, its ‘Draft Master Direction on the Treatment’, aims at expanding the very definition of wilful defaulters, and mandating lenders to complete the identification process within six months of loan being classified as ‘non-performing’ while adding more punitive dimensions to enable lenders to initiate legal action.
Thanks to some constant yet concerted efforts being made by the central bank to ‘rein in’ wilful defaulters and protect the interests of financial institutions.
The article ‘India wants gold, not gold bonds’ (November 21) shows that in our country, gold is a valuable asset for use and not just virtual investment through SGB, ETF or through derivative in Commodity exchange or F&O. The prosperity of the households depends on how much gold, diamond and precious metals they own.
Therefore, gold as an investment will always have limited demand. The Sovereign Gold Bonds, Gold Exchange Traded Funds, Derivatives or as commodities in MCX are relevant only when either plenty of gold is possessed by the investor or the investor is wary of holding physical gold.
Peerless World Cup
This refers to the Editorial ‘Cricket, the winner’ (November 21). The World Cup matches were in a class by itself — the hype which made fans travel by charter planes to reach the venue, tickets selling at ₹1.25 lakh each and hotels charging unprecedented rates, it was a money spinner for them and ICC at the cost of crazy fans.
The close matches, thrilling fielding, superb batting with Rohit Sharma providing a resounding beginning with record-breaking sixes, top-class bowling and flawless umpiring justified the money and time spent.
Our team lost but, it was amazing to see the spectators applauding the winning team , a departure from the past.
Yes, this World Cup has infused a new lease of life to ODIs.
Comply or regret
Apropos the article “Don’t trivialise penalties” (November 21), despite a plethora of rules and regulations, it is important for financial companies to adhere to total compliance.
Corporates must adopt the latest technology to ensure complete compliance an prevent any oversight.
RBI’s action in levying penalties for transgressions is in the right direction, though the penalty amount appears to be too small.
RBI’s action will also have a domino effect on other companies and probably nudge them to be more effective in complying with regulations