Regional Director of Reserve Bank of India (RBI) for Madhya Pradesh and Chhattisgarh Murli Radhakrishnan said that no company in the State is authorised to accept deposits under the new provisions of Non Banking Finance Company (NBFC). Only banks are authorised to accept deposits and transaction of deposits. Radhakrishnan disclosed this in the 25th meeting of the State-level Coordination Committee constituted to monitor the activities of non-banking sector in the State.
Chief Secretary Vivek Dhand chaired the meeting. Radhakrishnan clarified that the ones registered under the Companies Act or as cooperative institutions or societies to operate in non-banking sector are not authorised to accept deposits. If any of these companies are involved in any such activities, then it is illegal. Dhand issued directions to the Registrar of Companies and Cooperative Societies to initiate strict action against companies involved in such activities.
He directed the officers of police department to take immediate action on complaints received in such matters. The Chief Secretary also directed the officers of RBI, SEBI, National Housing Bank, Institute of Chartered Accountants of India and Economic Offences Wing (EOW) of Chhattisgarh police for strict enforcement the rules and regulations to check the fake chit-fund companies and other companies misleading people in the name of investment.
Discussions were also held on the action taken on the decisions taken in the previous meeting of the committee. Additional Chief Secretary - Finance DS Mishra, Secretary, Home, Ashok Juneja, Additional Director General of Crime Investigation Department (CID) RC Srivastava, Officer on Special Duty PN Tiwari, Registrar of the Companies Act RK Sahu, Assistant Manager of Securities and Exchange Board of India (SEBI) U Ramesh, Director, Institutional Finance Akash Solanki, Deputy General Manager of RBI, Bhopal, Veena Srivastava and Deputy GM of RBI Raipur, Venugopal Rao besides representatives of the Institute of Chartered Accountants of India and Economic Offences Wing were present in the meeting.