Prime Minister Narendra Modi yesterday launched a blistering attack on the previous Congress- led UPA regime, saying that banks were pressured to give loans worth thousands of crores of rupees to select industrialists in a scam bigger than 2G, coal and Commonwealth Games scams.
Speaking at the 90th AGM of industry association Ficci, Modi said the non performing asset (NPA) or bad loans problem is a "liability" handed over by "economists" in the previous regime.
Hard-selling his government's pro-poor policies, he listed out initiatives like free cooking gas connections to women, bank accounts to every household, loans to the youth and affordable housing, taken since 2014.
Modi said loans extended to select industrialists by pressuring banks was a loot of public money.
Calling it a "scam", he said this was bigger than the Commonwealth Games, 2G telecom spectrum allocation and coal block allocation scams.
Modi said his government is formulating policies keeping in mind the need of businesses, abolishing archaic and obsolete laws.
Rumours being spread on FRDI bill
Prime Minister Narendra Modi said yesterday that the government is working to protect the interest of bank customers and their deposits, seeking to dispel the rumours regarding the proposed FRDI Bill. The so-called "bail-in" clause in the draft Financial Resolution and Deposit Insurance (FRDI) Bill, 2017 has been commented upon by experts as bringing potential harm to deposits in savings accounts.
The draft law, which was introduced in the Lok Sabha in August, is undergoing scrutiny by a joint parliamentary committee. "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," Modi said.