Insights

INFORM: Infrastructure, Projects & Finance – February 2024

The highlights of the current issue are:

Notifications/circulars:

  • Exposure norm/other restrictions for Urban Cooperative Banks (UCBs)
  • Re-appointment and appointment of statutory auditors of central and state co-operative banks
  • Norms for credit and investment concentration and credit risk transfer
  • Revision to the Master Direction on KYC
  • Enhanced bulk deposit limit for Urban Co-op banks in T3 and T4
  • Risk management and inter-bank transactions: Mitigating foreign exchange risks
  • RBI revises guidelines on inactive accounts and unclaimed deposits in banks

Case laws:

  • Dissenting creditor entitled to an amount equivalent to the security interest under Section 30(2)(b) of the Insolvency Bankruptcy Code, 2016.
  • Bank has no jurisdiction to hold a foreign passport, OCI as security beyond 15 days.
  • Banks cannot charge exorbitant interest rates without proper justification.
  • Specimen signature stored by banks can be produced as evidence for dispute in genuineness of signature on cheque.