RBI notifies revised guidelines for Opening of Current Accounts by Banks

Today (02.11.2020), RBI announced that banks may ensure compliance with the instructions contained in their Circular dated August 6, is extended up to December 15, 2020. In its circular of August 6, RBI said in respect of the opening of current accounts banks shall comply with all the instructions contained therein the circular. For existing…

These eleven things you need to know for acceptance of power of attorney for creation of mortgage

Every other day, we have been coming across cases where fraudsters are using Power of Attorney for creating mortgages. Bankers and other financial lenders are most vulnerable to mortgage related frauds. Therefore, Staff working in the loan and advance departments of banks and financial departments shall be vigilant at the time of documentation and may…

SC gives November 2 deadline to Centre for an action plan to implement waiver of compound interest

Directing the government to implement the decision to waive “interest on interest” without delay, yesterday the Supreme Court directed the Centre to come back “with an appropriate action plan” on November 2.  The above direction came from Apex court when solicitor general Tushar Mehta, representing the Centre, said the waiver would come into effect by…

Government modifies interest subvention scheme for MSMES, extends scheme till March 2021

The Ministry of MSME (MoMSME) has implemented the “Interest Subvention Scheme for Incremental credit to MSMEs” vide circular no. FIDD.CO.MSME.BC.No.14/06.02.031/2018-19 dated February 21, 2019.  According to the RBI circular, the term loan or working capital extended by Scheduled Commercial Banks to MSMEs are eligible under the scheme. Both manufacturing and service enterprises are eligible for…