- IDFC BANK TO BE RENAMED AS “IDFC FIRST BANK”: IDFC Bank has proposed to change its name to “IDFC First Bank Ltd” as it is in the process of amalgamating Non-Banking Finance Company- Capital First with itself. The amalgamation process is in the advanced stage as it has received approvals from Competition Commission of India, Stock Exchanges, RBI, shareholders and creditors. The Bank would further require approvals for this change of name from RBI, Registrar of Companies and all other statutory regulatory authorities including shareholders and creditors.
- FAKE BANK APPS MAY HAVE STOLEN DATA OF THOUSANDS OF CUSTOMERS: Fake Apps of SBI, ICICI Bank, Axis Bank and other leading banks are available on Google Play, and the deceptive malware in these Apps may have stolen thousands of customers’ account and other credit card details. This is as per a report published by IT Security firm Sophos Labs. These “fake Apps” have logo of respective banks which makes it very difficult for customers to differentiate between fake and original Apps. However many banks have told that they have not come across any such fake apps.
- APP BASED LENDING PLATFORM “EARLYSALARY” CLAIMS TO BE THE LARGEST LENDING APPLICATION: App based lending platform “EarlySalary” has claimed that it has crossed Rs. 550 crore online loan disbursals, making it the country’s largest consumer lending application. The company has so far provided loans to over 1,35,000 customers and cumulatively has disbursed 3,50,000 loans to young working Indians. On an average it is disbursing Rs. 80 crore loans, processes over 60,000 applications and disburses 35,000 loans every month. The company currently services customers across 17 cities in India.
- THE MERGED ENTITY OF BANK OF BARODA-VIJAYA-DENA TO GET GROWTH CAPITAL FROM GOVERNMENT: The government will provide an additional cushion by way of “Growth-Capital” to the proposed merged bank to be formed by amalgamation of Bank of Baroda, Vijay Bank and Dena Bank to start the new bank on a stronger note. The actual capital infusion in money terms will be clear only after the financials of July-September quarter of all the three banks are available.
- SYNDICATE BANK GETS Rs. 728 CRORE CAPITAL INFUSION FROM GOVERNMENT: Syndicate bank has received Rs. 728 crore capital infusion from the government. The Finance Ministry has conveyed to the bank regarding the release of capital infusion to the tune of Rs. 728 crore through preferential allotment of equity shares during 2018-19 as government’s investment. The bank will be taking the necessary approvals for allotment of requisite equity shares to the government in due course of time.
- RBI MAY AMEND PROMPT CORRECTIVE ACTION FRAMEWORK TO HELP BANKING SYSTEM: The Reserve Bank of India may make certain changes in the Prompt Corrective action (PCA) framework that put restrictions on financially weak banks. The changes could be made in the next couple of weeks after taking into account the various aspects and in the larger interest of the banking system. As many as 11 out of 21 banks are under RBI’s PCA watch list, of these Dena Bank and Allahabad bank are facing restrictions on expansion of business.
- INCOME TAX DEPARTMENT LAUNCHES MAJOR DRIVE AGAINST INDIANS WITH ILLEGAL FOREIGN ASSETS: The Income tax Department has launched massive operation to investigate cases of illegal funds and properties held outside India by Indians and is looking to invoke the new anti- black money law for strict criminal action in many such cases. The Department, in coordination with its foreign counterparts, is investigating offshore bank deposits and purchase of assets by Indians and the number may go into thousands of cases.
- GOVERNMENT DENIES ANY LIQUIDITY CRISIS: Defaults by IL&FS and its subsidiaries had led to concerns of grave repercussions on the credit market, leading to a liquidity crisis. But the government has assured that there is no such liquidity crisis in the market as there is surplus liquidity in the system. Banks are buying NBFC portfolios and there is no shortage of liquidity. But looking at the present market conditions, it is apparent that there is a liquidity crunch prevailing in the system.
This post first appeared on IMPACT OF DEMONITIZATION OF CURRENCY IN INDIA IN 2016, please read the originial post: here
