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Bank Employees Revolt, Pen Strong Letter to FM Jaitley, Call for All India Protest on December 28

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The Indian National Bank Empolyees Federation has, in a letter dated. December 22, 2016 to Finance Minister Arun Jaitley highlighted the fact that Bank employees have been used by the Modi government as the proverbial ‘fall guys’ to deal with public wrath following Notebandi (demonetization).

Meanwhile, PTI reports that the All India Bank Employees Association (AIBEA) and All India Bank Officers Association (AIBOA) have issued a call for a demonstration against the problems that various banks and their employees are facing due to demonetisation. The union will hold demonstrations on 28 December, followed by the addressing of another letter to Union Finance Minister Arun Jaitley on December 29, the two bank unions said. The union members also plan to demonstrate over the issue on  January 2 and 3, 2017.

The letter by the National Bank Employees Federation states that

“…we emphatically like to submit that the Bank employees has been used by the Govt. as a front door bloke to tackle the agitated public who has suffered a lot due to unexpected wave of financial concerns.
 In order to tackle the rush over the counter, the employees, in tune with the Ministers /govt. officials' assurances in respect of deposit of banned currency notes in to the depositors account till December 30,2016 had all along advised the customers to wait for a comparative congenial atmosphere and not to act in haste to deposit banned notes into their accounts.

" Now, when the situation has been eased to some extent and the customers are coming to deposit Rs. 500/1000 Notes in their a/c, they are subjected to questioners' by the same persons tackling the customers over the counter and this is really awesome, as the Bank employees are not like Govt. bureaucrats or politicians to change their stand every now and then to suit their convenience.
 
"On the question of dishonesty on the part of the Bank employees, we, for last 10 years are requesting the Govt. of India to fix accountabilities of the Govt. nominated Chairman/EDs of various public sector Banks as they have no service conditions like other employees and we have enough reasons to believe that they have nexus with the sky high NPA's as well as bad debts write-off in the Banking Industry causing enormous damage to our economy. We have no hesitation to say, that the plight of NPA and bad debt write-off are like high mountains in comparison to small mounds of black money which are supposed to be wiped out through demonetisation. Curiously the GOI is tight lipped on the matter and also are not submitting their affidavit to the judiciary as is required before the Hon'ble High court of Mumbai.

"As the Bank employees are duty bound to carry on the instructions of the higher authorities, they are being used as a human wall against the dissatisfied mob and on December 21,2016 they have been assaulted in many parts of the country. It is unfortunate that due to frequent changes in the policy matters, the employees over the counter are themselves bewildered to follow guidelines envisaged by the RBI/GOI. It will not be out of place to mention that the same thing has happened while receiving currency notes printed before 2005 from the customers.
 
"We, through your good office like to request the GOI/RBI to arrive at a mind-set before issuing an instruction concerning demonetisation and also examine the impact and possible reaction of the Banking public to save the Bank employees from the wrath of the common public.
 
"We, further request you to ask the RBI/Head of the PSBs to make a proper plan to cater the need of the common public for withdrawal of their money from their a/c from 01.01.2017 and do the needful, so that Bank employees do not face the wrath of the public like the episode of first week of December 2016."
 
"AIBEA General Secretary CH Venkatchalam and his AIBOA counterpart S Nagrajan in a statement issued on Tuesday, December 20  said:
As per the call of our organisations, already our units have undertaken the programme of demonstrations in all major centres and met the local executives of RBI to hand over our memorandum.

The unions have demanded that the RBI ensure supply of adequate cash to all banks and branches, restore all ATMs without further delay, and ensure transparency in cash supply to banks. If RBI is not able to supply adequate cash to banks, then decision should be taken to suspend cash transactions in the bank branches till sufficient cash is supplied to banks.

They have also demanded a CBI inquiry into the seizures of huge numbers of new currency notes with some big persons when the bank branches are cash-starved.The unions further demanded compensation to the families of the people and bank staff who lost their lives recently due to demonetisation.

The statement asked RBI and state governments to ensure safety and protection of bank employees and officers by maintaining law and order in all branches to prevent harassment of the staff.

They also want proper compensation to employees and officers for their extra work/late sittings done in the last month or more.

Both the unions claim to have over 5.50 lakh members out of the nearly 9 lakh bank employees in the country.

The RBI on last Tuesday (December 20) modified guidelines saying KYC compliant account holders can deposits more than Rs 5,000 in old currency notes without being questioned by bank officials.Earlier this week, the RBI issued a notification directing banks to conduct due diligence of customers who wish to deposit more than Rs 5,000 in old currency till December 30.
"The credit in such cases shall be afforded only after questioning tenderer, on record, in the presence of at least two officials of the bank, as to why this could not be deposited earlier and receiving a satisfactory explanation," RBI had said.

"The instructions issued vide the RBI communication dated December 19 must be withdrawn forthwith as the banker shall not carry out the duties of CBI/ED/IB at the busy counters," AIBOC General Secretary Harvinder Singh said in a representation to RBI Governor. No accountability should be fixed on the bank officers in this respect as they are thrust with a role not expected of them, it added.

"Having demanded this, we strongly feel that withdrawal of the instruction itself will only confirm the Prime Minister's statement to the public on November 8 and improve public confidence in the banking system and reduce the
hardships faced by the officers at counters," it said.

Pointing out that the banking system itself is losing credibility because of frequent changes in RBI/Government policies, Singh said customer dissatisfaction is increasing because of chaos and confusion created in implementation of the scheme."Bank Officers are being subjected to the anger, anguish and wrath of customers or general public due to short supply of currency notes to the banks, particularly to Public Sector banks," it said.
 
 
 
 

Surveillance: Indian Govt Agencies Sought Data of 8,290 FB Accounts in 6 Months

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PTI Report: Social networking giant Facebook received 6,324 requests from Indian government agencies for 8,290 users/accounts in the first half of 2016.
This is the second highest after the US, which made 23,854 requests for 38,951 users/accounts during January-June 2016, according to Facebook’s Government Requests Report.

Requests from India have increased, a trend seen globally as well from the previous period. Indian agencies had made 5,561 requests for 7,018 users/accounts in July-December 2015 period.
Facebook said it was able to produce “some data” in 53.59 per cent of the cases in the first half of 2016, compared to just over 50 per cent in the July-December 2015 period.
Government requests for account data increased by 27 per cent globally compared to the last half of 2015, increasing from 46,710 to 59,229 requests, Facebook Deputy General Counsel Chris Sonderby said.

“As we have previously emphasized, we apply a rigorous approach to every government request we receive to protect the information of the people who use our services. We scrutinise each request for legal sufficiency, no matter which country is making the request, and challenge those that are deficient or overly broad,” he added.

Sonderby emphasised that Facebook does not provide governments with “back doors” or direct access to people’s information.

“We’ll also keep working with partners in industry and civil society to push governments around the world to reform surveillance in a way that protects their citizens’ safety and security while respecting their rights and freedoms,” he said.

 

Notebandhi Alert! Unofficial Gag on any Talk of Demonetization at 8th Vibrant Gujarat Summit

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According to industrialists, more than 30% of Gujarat’s chemical-based units, which form a major hub of income for the state, have shut down already since the November 8 announcement. They expect the situation to get worse—Financial Express

According to all indications thus far, the summit is expected to be rather lacklustre this time around, with a majority of exhibition stalls yet to be booked.


US a Partner Country at the Vibrant Gujarat Summit, 2016

As reports of severe impact of demonetization on industry, small and big, production fall and freeze in the formal and non-formal sectors keep pouring in, while a distanced government continues in its mode of rigid denial, media reports suggest that there there appears to be an unofficial diktat within the corridors of power to sweep any discussions on the impact under the rug, ahead of the eighth edition of the Vibrant Gujarat Summit, scheduled to be held between January 10 and 13.

Talking to sections of the media on strict conditions of anonymity, a prominent Ahmedabad-based industrialist said, “There is pressure from the government to not talk about demonetisation. It is the Ahmedabad-based Gujarat Chamber of Commerce and Industry (GCCI), which is responsible for several events to be held at the summit, that had earlier planned to hold a discussion on the post-demonetisation scenario for industries at the Micro, Small and Medium Enterprise (MSME) Conclave, scheduled to be held at the summit. Inexplicably, that event has now been cancelled.

The international business magazine, Forbes, in its new year (2017) edition has literally torn apart the Narendra Modi government's irrational decision of demonetization. Steve Forbes has written,

"India's awful act underscores another piece of immorality. Money represents what people produce in the real world. It is a claim on products and services, just as a coat-check ticket is a claim for a coat left at the coat check in a restaurant or a ticket is for a seat at an event. Governments don't create resources, people do. What India has done is commit a massive theft of people's property without even the pretense of due process–a shocking move for a democratically elected government. (One expects such things in places like Venezuela.) Not surprisingly, the government is downplaying the fact that this move will give India a onetime windfall of perhaps tens of billions of dollars."

According to the Financial Express that broke this story, a prominent Ahmedabad-based industrialist said, “There is pressure from the government to not talk about demonetisation. They will not focus on demonetisation at all. We believe it will directly or indirectly affect the summit, of course. There will be lesser people attending the summit, lesser stall bookings, and there will be a lesser number of Memoranda of Understanding (MoU) signed than before.”

According to industrialists, more than 30% of Gujarat’s chemical-based units, which form a major hub of income for the state, have shut down already since the November 8 announcement. They expect the situation to get worse.

Another prominent industrialist said, “The situation is going to get much worse. Earlier, there were expectations that it would normalise in a month but it does not appear to be so. Textile units and other labour-intensive sectors like chemicals and plastics have suffered the most, but we expect the situation to get about 30% worse.”

Government officials, however, seem to be adamant on not allowing the woes of demonetisation to creep into the international summit, which this time around, has 12 partner countries namely the US, the UK, UAE, Australia, Canada, Denmark, France, Japan, Netherlands, Poland, Singapore and Sweden.

Addressing mediapersons last week, JN Singh, chief secretary in the Gujarat government had said, “I see no impact of demonetisation on the summit. On the other hand, there might be a positive impact. There might be people interested in digital economy and services sector who might come forward (for signing MoUs). The people coming to the summit are usually looking for long-term impact, and demonetisation will not be a problem in the long-term.” Singh added that this edition of the Summit will be the “biggest so far”.

To emphasise the push on moving towards a cashless economy, the summit this year is also expected to witness signing of MoUs online. The scrutiny for companies expressing interest in investing in Gujarat is also expected to be greater than was seen in earlier versions of the summit.

According to all indications thus far, the summit is expected to be rather lacklustre this time around, with a majority of exhibition stalls yet to be booked.
Interestingly, the Gujarat government has always been rather tight-lipped regarding the MoUs signed at the summit and the quantum that actually translate into investment on ground. At the recent press conference, state government officials had claimed a success rate of 66% success ratio for MoUs signed at the previous editions of the summit. According to chief secretary Singh, 51,738 MoUs or investment intentions have been signed in the earlier editions of the Summit, which began in 2003.

Singh had added that of these, about 34,234 projects have either been completed or are currently under implementation. Government officials said they were constantly reviewing as to why others had not worked out.

And though the state government is pulling all stops to create hype ahead of the Summit, the biennial investment blitzkrieg is expected to be a shadow of its former editions.

WATCH THIS VIDEO -Steve Forbes


Steve Forbes speech on Demonetization: What India Has Done To Its Money Is Sickening And Immoral

 

Merry Christmas (despite everything)

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Image Courtesy: Orijit Sen