Rajya Sabha Passes Deposit Insurance & Credit Guarantee Corporation (Amendment) Bill
nsurance and Credit Guarantee Corporation (Amendment) Bill amid opposition uproar, with minister of finance Nirmala Sitharaman saying the proposed legislation will help small depositors, including those of the stressed PMC Bank. The bill was passed after a brief debate.
The Bill proposes that albeit a bank is temporarily unable to fulfil its obligations thanks to restrictions like moratorium, depositors can access their deposits to the extent of the deposit insurance cover through interim payments by the Deposit Insurance and Credit Guarantee Corporation (DICGC). For this, the Bill seeks to insert a replacement Section within the DICGC Act, 1961. Replying to a quick debate, Sitharaman said the legislation would offer relief to small bank depositors. She said the proposed legislation also w...