Various measures taken to protect bona fide commercial decision of banks, says FM Sitharaman

During 2020-21, Rs 939.86 crore was sanctioned to 13,092 beneficiaries of SUI Scheme, she said. (File image)

The authorities has taken assorted measures to support bona fide commercialized decisions of banks to alleviate the fearfulness of immoderate unwarranted hardships to officials oregon elder executives taking cardinal decisions, Finance Minister Nirmala Sitharaman said connected Tuesday successful the Rajya Sabha.

These see amendments to Prevention of Corruption Act (PC Act), 1988, requiring anterior support earlier initiating probe against a nationalist servant, mounting up of Advisory Board for Banking and Financial Frauds (ABBFF) for archetypal level of introspection of suspected frauds of banks and fiscal institutions successful excess of Rs 50 crore, finalisation of Consolidated Staff Accountability Framework etc, she said.

The government, successful consultation with Central Vigilance Commission, has precocious finalised a consolidated Staff Accountability Framework for non-performing assets (NPAs) accounts up to Rs 50 crore, different than fraud cases, she said.

Public Sector Banks (PSBs) person been advised to suitably revise their respective Staff Accountability Policy and different applicable policies, arsenic required, wrong this model with support of their respective boards, she said.

“The Staff Accountability Framework is aimed astatine protecting bona fide decisions taken by the slope officers/workmen portion ensuring accountability for incorrect doing oregon inaction. It is meant to place and punish lone those slope officers/workmen who are prima facie liable for the lapses of non-compliance with laid down systems and procedures oregon misconduct and/or non-adherence to the ‘due-diligence’ norms,” she said.

This model would travel into unit for accounts classified arsenic NPAs with effect from April 1, 2022.

Replying to different question, the Finance Minister said, a full fig of 1,25,575 loans person been sanctioned nether Stand Up India (SUI) Scheme by Scheduled Commercial Banks crossed the state till November 30, 2021.

During 2020-21, Rs 939.86 crore was sanctioned to 13,092 beneficiaries of SUI Scheme, she said.

The nonsubjective of the SUI Scheme is to beforehand entrepreneurship among the Scheduled Caste/ Scheduled Tribe and women by facilitating slope loans amounting betwixt Rs 10 lakh and Rs 1 crore to astatine slightest 1 SC/ST borrower and 1 pistillate borrower per slope subdivision of Scheduled Commercial Banks for mounting up greenfield projects, she said.

To marque the strategy much attractive, the authorities has announced simplification of the borderline wealth request from up to 25 per cent to up to 15 per cent and for including activities allied to agriculture nether the Scheme.