Letters

Letters to the editor dated August 29, 2021

| Updated on August 29, 2021

A welcome move

Apropos Editorial “Gold Standard” (August 27), is of much relevance given that India is the second largest world consumer of gold.

Indians view gold as the most secured means of investment, a safe haven in times of financial stress.

Moreover, purchase of this asset in India has a religious connotation as well. “Akshaya Tritiya” is one of the most auspicious days for the Hindu and the Jain communities.

In this backdrop, Hallmarking will ensure that you are paying only for the promised purity of gold. Earlier, some jewellers would sell 18-karat jewellery and charge the customer for 22-karat jewellery by claiming it to be of higher purity. Now, this mandatory hallmarking act will prevent such fraudulent practices.

If you buy new ornaments by exchanging old ones, jewellers reduce 15 per cent of the gold value from the old item in the pretext that it is not of 22 carat purity.

So, it is high time, that Hallmarking is made mandatory and the government’s move is welcome.

Roy Markose

Thiruvananthapuram

With reference to Editorial ‘Gold standard’, though hallmarking of gold started in 2000 in India, it was only voluntary. That it has been made mandatory now is a positive step for the consumers. As we know that we have around 5 lakh jewellers in India but only 45,000 have been certified by BIS. This mandatory hallmarking move is bound to bring more transparency and accountability into the sector.

Jewellers now are expected to bring changes in their daily business practices and as we know that change is hard to accept for these businessmen, hence they are protesting, but the government should go ahead with its plan and not succumb to their pressure. It is the government’s responsibility to upgrade the infrastructure to support the required change in the ecosystem.

Bal Govind

Noida

All is not well with co-op banks

As per media reports, RBI has imposed a penalty of ₹3 lakh on Jijamata Mahila Sahakari Bank, ₹2 lakh on Muslim Co-operative Bank (both Maharashtra based) and ₹5 lakh on Seyad Shariat Bank, Tamil Nadu, for violation of various rules, under the Banking Regulations Act. However, of late a large number of the “erring” co-operative banks have been penalised by the Banking Regulator. This obviously implies that their day-to-day affairs are not being run in accordance with the relevant RBI guidelines . However, frequent imposition of the financial penalties does not augur well for the overall image as also the financial health of various banks currently operating under co-operative ‘umbrella’.

Most of these banks are being ‘administered and managed’ by political big-wigs across the country and a large chunk of their account holders usually belong to not so rich ‘strata’ of the society. It’s hardly surprising that they alone are likely to bear the ‘burden’ of RBI’s penalties.

Vinayak G

New Delhi

Easing cross-border cargo

This refers to ‘How to ease cross-border cargo movements’ (August 27). Capital investment, new legislation and regulatory reforms are needed for efficiently managing border cargo movement points. Developing infrastructure with capital investment is not easy even in the long run for dearth of funds and changing regulations governing the cargo movement. India carries its bilateral cross border trade with rules framed by the concerned country and from the Indian side. Further logistics companies with proven experience, infrastructure to assure a trustworthy transportation of cargo with the requisite bilingual manpower are enhancing cross-border trade. Easier movement processes like quick inspection,cargo- sender friendly legislations and dynamic changes in rules will facilitate cross border cargo movements.

NR Nagarajan

Sivakasi

Published on August 29, 2021

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