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Finance Minister Nirmala Sitharaman moves Banking Laws Amendment Bill, says will strengthen governance

The proposed amendments seek to increase the tenure of directors other than the chairperson and full-time directors in cooperative banks from eight years to ten years.

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Finance Minister Nirmala Sitharaman moves Banking Laws Amendment Bill, says will strengthen governance

Union Finance Minister Nirmala Sitharaman today said that the Banking Laws (Amendment) Bill will strengthen governance in the Indian banking sector besides enhancing consumer’s and customer’s convenience with respect to nominations and protection of investors.

The Finance Minister moved the Banking Laws (Amendment) Bill, 2024, for consideration and passing in Lok Sabha. The aforesaid bill seeks to improve governance standards and provide consistency in reporting by banks to the Reserve Bank of India. Furthermore, the amendments will also ensure better protection for depositors and investors and will also improve the quality of services in the public sector banks.

After the bill is passed, the Banking Regulation Act will allow up to four nominees for depositors. This will include provisions for simultaneous and successive nominations, offering greater flexibility and convenience for depositors and their legal heirs, especially concerning deposits, articles, safe custody and safety lockers.

Reports stated that the proposed amendments seek to increase the tenure of directors other than the chairperson and full-time directors in cooperative banks from eight years to ten years. Altogether 19 amendments are proposed in the Banking Laws Amendment Bill 2024. In order to ensure consistency in reporting by banks, the bill provides for reporting to RBI on the last day of every fortnight instead of Fridays.

Under the aegis RBI Act, scheduled banks must maintain a certain level of average daily balance with the RBI as cash reserves. This average daily balance is based on the average of the balances held by banks at the closing of business of each day of a fortnight.

Notably, a fortnight is defined as the period from Saturday to the second following Friday (including both days). The said Bill changes the definition of a fortnight to the period from the first day to the fifteenth day of each month or the sixteenth day to the last day of each month. Additionally, the bill also changes this definition under the Banking Regulation Act where non-scheduled banks are required to maintain cash reserves.

The bill further redefines substantial interest in a company, currently it refers to holding shares of over Rs 5 lakh rupees or 10 per cent of the paid up capital whichever is less, this has been proposed to be hiked to Rs 2 crore. The Centre is also empowered to alter the amount through a notification.

The proposed bill also allows a director of a central cooperative bank to serve on the board of a state cooperative bank. At present, directors can hold positions in only one institution and not more.

The structure of the cooperative bank necessitates this as unless a person is elected to one layer of the cooperative, they can’t get into the next layer and as a result, they will necessarily have to hold a position at more than one place.

The said bill also provides that any person whose shares or unclaimed/unpaid money is transferred to the Investor Education and Protection Fund (IEPF), he can claim the transfer or refund. At present, if money in any account remains unpaid or unclaimed for seven years, it is transferred to the IEPF.

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India became Vishwaguru through service, not power, says Mohan Bhagwat

RSS chief Mohan Bhagwat said India became a Vishwaguru through selfless service and its tradition of respecting diversity, rather than through power.

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Mohan Bhagwat

RSS chief Mohan Bhagwat said India’s standing in the world was built through its tradition of selfless service and humanitarian assistance, rather than through military or imperial power.

Addressing the “Hindu Vishwa Bandhu – Embrace the World in Friendship” gathering in Toronto, Bhagwat said India became a “Vishwaguru” (world teacher) through its character and service to humanity, rather than as a “Mahashakti” (superpower).

Bhagwat recalls India’s humanitarian tradition

Bhagwat cited historical examples of India providing refuge to people fleeing persecution and war. He recalled how the Maharaja of Jamnagar provided shelter and protection to Polish refugees during the Second World War until they could return safely.

He also referred to more recent humanitarian operations, saying Indian military transport aircraft had rescued citizens of seven other countries along with Indians during evacuations from a conflict zone in the Middle East.

The RSS chief said India has historically provided peaceful refuge to people belonging to different faiths, including Muslims, Christians, Jews and Parsis.

‘India never conquered any country’

Bhagwat contrasted India’s civilisational outreach with imperial expansion, saying Indian traditions focused on sharing knowledge rather than conquering territories.

He said Indian travellers historically reached different parts of the world but did not conquer countries. Instead, he said, they shared knowledge in areas including astronomy, Ayurveda and civilisational values.

Calling this tradition the “DNA of Bharat”, Bhagwat said India has continued to help people in distress, including in situations where assistance was not specifically requested.

Bhagwat stresses diversity and unity

Bhagwat also spoke about his understanding of the word “Hindu”, saying it cannot be defined by a particular language, form of worship or lifestyle. He said Hindus “respect all” and “accept all”.

He emphasised the need to respect and embrace diversity, describing it as an expression of an underlying unity.

According to Bhagwat, India’s ancient ethos recognises diversity as natural while treating unity as the fundamental reality.

He further invoked the philosophy of “Vasudhaiva Kutumbakam”, or the belief that the entire world is one family.

Bhagwat said that despite differences in appearance and other forms of diversity, people are essentially one and therefore serving others is a duty.

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Nepal flash flood flow reached 300 Kmph, experts warn of another deluge

Nepal’s flash flood may have involved a water mass moving at 300 kmph. Experts warn that three newly formed lakes could trigger another deluge.

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A massive flash flood that devastated Nepal’s Trishuli river valley earlier this week may have involved a water mass moving at nearly 300 kmph, according to a Nepal-based Himalayan glacier and mountain researcher.

The assessment comes as thousands of people remain unaccounted for following the disaster, with rescue efforts continuing and concerns mounting over the possibility of another flood.

Glacial collapse likely triggered the massive flood

Mountaineer Sanjit Singh Bal said the event appeared to have been caused by a glacial event. He said a glacier roughly a kilometre in size may have broken away at an altitude of around 5,000 metres before travelling downhill.

As it moved through the steep terrain, the mass may have encountered water bodies and accumulated large amounts of debris. The terrain then channelised the energy as the mass travelled towards the Tibet border crossing.

Dhananjay Regmi, a Nepal Himalayan glacier and mountain researcher, told that the flow of the water mass was around 300 kmph, higher than earlier estimates.

Three lakes raise fresh flood concerns

Experts said three lakes have now formed in the area, creating a potential risk of another flood.

According to Regmi, any fresh rockfall could have a cascading effect across all three lakes. He said controlled release of water would be the only way to avoid such a development, although there was no information that such a measure was being carried out at the time of the report.

For now, the suggested course of action is to move people to higher ground and wait.

Satellite images show glacier collapse

Ashutosh Mishra, managing partner of Snowscapes, said there was initially a suspicion that a breach in one of the three lakes had caused the disaster.

However, subsequent data indicated that the lakes were not the actual cause. Satellite images showed that an area of up to two square kilometres on the northern glacier of Langtang Lerung, a peak rising to around 7,000 metres, had collapsed.

The disaster has left families searching for missing relatives in the affected areas. In Battar, people were seen desperately looking for information about their loved ones as the scale of destruction in the Trishuli valley became clearer.

For those still searching, the immediate priority remains finding and saving survivors, irrespective of whether they are family members or strangers.

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FIR against Rahul Gandhi over remarks on Haldwani purification row

Rahul Gandhi has been booked in Haldwani over alleged remarks concerning a purification ritual held at a venue where Mallikarjun Kharge addressed a rally.

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A First Information Report has been registered against Congress leader Rahul Gandhi in Uttarakhand’s Haldwani over his alleged remarks concerning a purification ritual carried out at a public venue following a Congress event.

The case relates to a controversy surrounding a religious ritual at Haldwani’s Ramlila Maidan, where Congress president Mallikarjun Kharge had addressed a rally. The incident has triggered a political dispute between the Congress and the BJP over allegations of caste discrimination.

What is the case against Rahul Gandhi?

According to the complaint, Rahul Gandhi’s remarks about the incident allegedly hurt the sentiments of members of the Valmiki community.

The complainant has alleged that Gandhi described the cleaning and havan ceremony as an act of untouchability and an atrocity against the Scheduled Caste community without verifying the circumstances surrounding the ritual.

The FIR invokes provisions of the Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, 1989, along with Sections 196 and 299 of the Bharatiya Nyaya Sanhita, 2023.

Congress-BJP clash over purification ritual

The controversy began after a “shuddhikaran” or purification havan was conducted at Haldwani’s Ramlila Maidan after Kharge addressed a Congress rally there.

Congress leaders have alleged that the ritual reflected caste-based discrimination because Kharge is a Dalit leader. Rahul Gandhi had demanded that Prime Minister Narendra Modi ensure an FIR against those responsible under the SC/ST Act.

The BJP has rejected the allegations and said the ritual was not linked to Kharge’s caste. Organisers have also said the havan was conducted to cleanse the venue of general filth rather than because of the identity of the Congress leader who had addressed the rally.

The FIR against Gandhi has now added another dimension to the ongoing political dispute.

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