Bad loans UPA's big scam: PM Modi
He sought to know whether an attempt was ever made to wake up those who silently watched the entire loot.
New Delhi: Launching an all-out attack against the Cong-ress before the 2nd phase of Gujarat polls, Prime Minister Narendra Modi said on Wednesday banks were pressured during UPA rule to give loans worth thousands of crore to select industrialists.
“This noise over NPAs is the biggest liability handed down by the economists sitting in the previous government,” he said. Mr Modi asked what organisations like Ficci were doing when people sitting in the previous government were pressurising banks to give loans to select industrialist. “People sitting in previous government knew, banks knew, corporates knew and organisations linked with markets also knew wrong thing is happening,” Mr Modi said.
“These NPAs are the biggest scam of the UPA government. It is a bigger scam than CWG, 2G and coal scams. In a way, this was a loot of people money by those in the (UPA) government through select industrialists,” Mr Modi said.
He sought to know whether an attempt was ever made to wake up those who “silently” watched the entire loot.
PM Modi rejects claim on bail-in clause
Prime Minister Narendra Modi said on Wednesday that Financial Resolution and Deposit Insurance (FRDI) Bill is being brought to protect the interest of the bank consumers, even as he termed non-performing assets of state owned banks as the biggest scam of UPA government.
Stating that the government is taking steps to improve the condition of banks, Mr Modi said, “Rumours are being spread regarding FRDI. The government is working for securing interest of customers and protecting their deposits, but contrary news is being spread.”
He was speaking at the 90th Annual General Meeting of industry chamber Ficci.
Thousands of people have expressed concern over Section 52 of the FRDI Bill which seeks to empower Resolution Corporation to use depositor’s money to rescue failing banks either by locking in deposits for longer tenure or cancelling the bank’s liability to depositors.
He also questioned as to why the UPA government did not think of bringing a legislation like the RERA to protect the interests of home buyers and to enhance transparency in the real estate sector.
Mr Modi said that implementation of GST was an old demand of the industry and wanted to know what Ficci was doing to promote it among various players.
The Prime Minister pointed out how even after GST was reduced on restaurants, people were complaining on social media that restaurants had increased prices of their menu denying them benefit of lower taxes.
Though that government was taking steps to prevent such things, he asked what Ficci was doing about it. Mr Modi noted it takes time to implement a system like GST which is replacing a 70 years old way of doing things.
He asked Ficci to handhold small enterprises and make efforts to ensure that the dues owed to them by big companies are cleared expeditiously. “Can you do something to clear the MSME dues lying with big companies on time. There are rules in place, yet it is true that dues of small enterprises are generally stuck with big firms,” Mr Modi said.
“Small entrepreneurs are scared of demanding their rightful dues stuck with big enterprises in the fear of losing business. If institutions like Ficci make efforts to solve this problems of small enterprises, the economy will get a new pace,” Mr Modi said.