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Government may reduce stake in banks to 52 percent: Jaitley

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By NewsGram staff writer

Mumbai: Finance Minister Arun Jaitley, regarding the concerns about levels of non-performing assests (NPAs) or bad debts, of public sector banks, said that government may consider reducing its stake in them to 52 pre cent.

Addressing the annual meeting of Indian Banks’ Association here, he also said state-run banks have to be freed from political interference in decision-making and their decisions should be based only on banking merits.

“Efforts are on to give shape the banking bureau and to professionalize all personnel issues. We are willing to look at changes. We have appointed a panel headed by Justice AP Shah to find options of hiring best quality talent,” he said.

Taking the first step towards a holding company structure for state-run banks, the government last month announced the setting up of a Banks Board Bureau (BBB) that will recommend appointment of directors in PSBs and advice on ways of raising funds and dealing with issues of stressed assets.

Jaitley has allocated Rs.7, 940 crore in the budget for recapitalization of public sector banks in this fiscal.

In December, the union cabinet had allowed state-run banks to raise up to Rs.160, 000 crore from the capital markets by diluting the government stake in phases to 52 percent.

As per an estimate, public sector banks would need additional capital of up to Rs.240, 000 crore by 2018 to meet the Basel III capital adequacy norms, put in place to guard against a repeat of the situation following the 2008 US financial crisis.
Jaitley also said the government was getting ready to unveil a draft for a bankruptcy code by early October.

“The bankruptcy code draft will be put out by early next month and would be taken to parliament from there. Resolution of disputes with relation of contracts law will be passed by the end of the fiscal,” he said.

 

(With inputs from IANS)

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Court Asked Arvind Kejriwal if He Lied about Calling Arun Jaitley, a Crook

The court asked Kejriwal to abstain from "scandalous" and "indecent language"

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The surge of 20 per cent price in water tariff will ,levied after the free quota of 20,000 litres
The surge of 20 per cent price in water tariff will ,levied after the free quota of 20,000 litres
  • Arvind Kejriwal was asked to clarify if he lied about calling Finance Minister, Arun Jaitley a crook
  • The Chief Minister is now supposed to offer his defense to the Delhi High Court
  • Jethmalani says that the Chief Minister owes him two crores for his appearances

New Delhi, Aug 23, 2017:  Aam Admi Party Chief Arvind Kejriwal was asked to clarify if he lied in court by pretending that he did not ask for abusive language to be used against Finance Minister Arun Jaitley, mentioned NDTV report.

Previously, Kejriwal stated in the court that he had not instructed his former counsel Ram Jethmalani to use  “crook” to describe the union minister in court. But Jethmalani claims that the Chief Minister used harshly insulting words to attack Jaitley.

Jethmalani declared that according to Jaitley, Kejriwal had misled the court by denying the allegations. In fact, he says Jethmalani has written to him to insist that was the case.
The Chief Minister is now supposed to offer his defense to the Delhi High Court.

In 2015, Jaitley sued Kejriwal and five top leaders of his Aam Aadmi Party for defamation after they accused him of corruption during his 13-year tenure as the top boss of the DDCA, the powerful cricket association that handles Delhi and its surrounding areas.  In two separate cases – criminal and civil – Jaitley has sought damages of 10 crores.

Also Read: Ram Jethmalani Exposes Arvind Kejriwal. Says, Kejriwal was Fixated on calling Jaitley Crooked 

During court the proceedings last month, Jaitley complained to Jethmalani’s language and said ‘Kejriwal’s team is delaying hearings in the Delhi High Court.’

The court asked Kejriwal to abstain from “scandalous” and “indecent language.”

After the Chief Minister said that he had not approved the abusive words, the lawyer riposted in a blog: “Ask your conscience how many times you used worse abuses than a mere ‘crook.’ You have hundred times asked me to teach this crook a lesson.”

Jethmalani says that the Chief Minister owes him two crores for his appearances. It seems that, in his new enmity with Kejriwal, he has become an indirect ally of Jaitley.


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