Delhi High Court: Providing Email Services Does Not Make Google a Public Functionary  ||  Patna HC: Lying on a Woman Without Any Act Toward Penetration Rules Out Attempted Rape  ||  Delhi High Court: Litigants Cannot Claim a Bench Change as a Right After Roster Changes  ||  Calcutta High Court: Peaceful Protest is a Democratic Right and Cannot Be Treated as an Offence  ||  Delhi High Court: Trial Courts Must Verify an Accused’s Address Before Declaring Absconding  ||  Gujarat High Court: Judicial Officer Cannot Seek HC Judge’s Transfer over Housing Grievance  ||  Delhi High Court Orders 125 Websites Using Jio Trademark for Lottery and Gaming to Be Suspended  ||  MP High Court Strikes Down 27% OBC Quota, Restores Reservation to 14%  ||  Supreme Court: Hindu Widow’s Limited Estate Became Absolute under Succession Act  ||  Supreme Court: Prima Facie Arbitration Agreement Requires Referral to Arbitration    

Banning of Unregulated Deposit Schemes and Protection of Depositors’ Interests Bill, 2015 - (03 May 2016)

MANU/PIBU/0414/2016

Banking

The suggestion period for ‘Banning of Unregulated Deposit Schemes and Protection of Depositors’ Interests Bill’ may have closed on 30 April 2016, but what do the proposals promise?

The Bill is a culmination of measures suggested by an Inter-Ministerial Group identifying gaps in the existing regulatory framework for ‘deposit taking’. Basically, it bans entities not supervised by any regulator or government body from taking deposits.

Unregulated deposit schemes, like pyramid schemes, have been used to swindle depositors out of enormous sums of money. The Saradha chit fund in West Bengal and PACL are examples of schemes that have solicited thousands of crores of rupees from investors looking for ‘big returns’ in a short time. The schemes are usually allied with other ‘promises’ such as a job or property to lure investors.

Tags : UNREGULATED DEPOSITS   PYRAMID SCHEMES    

Share :        

Disclaimer | Copyright 2026 - All Rights Reserved