Sanjay Nirupam slams Finance minister Nirmala Sitharaman amid PMC scam

The senior Congress leader and former Member of Parliament Sanjay Nirupam on Friday slammed the Finance Minister Nirmala Sitharaman amid the PMC bank scam. Nirupam took to Twitter and said that the Union government is unable to provide a bailout package and help the people affected by the scam. This statement comes after Finance Minister Nirmala Sitharaman assured action in the PMC bank fraud case in a press briefing.

Earlier on Thursday, Finance Minister Nirmala Sitharaman assured action in the PMC bank fraud case by speaking, the Finance Minister also stated that she was not in a position to commit on timeline. Addressing a press brief, the Finance Minister stated that it is the RBI that regulates cooperative banks, not the government. 

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She said, "As to when exactly the money will be given, its not for me to take a call because there is somebody who is doing the resolution, appointed by the RBI and therefore that is a process-driven exercise, which only the regulator and resolution professional can take between themselves."

The Finance Minister asserted that she has asked secretaries of the Ministry of Finance to work closely with concerned ministries in order to find out what went wrong. "I have asked the secretaries of the Ministry of Finance to work together with the rural development ministry and urban development ministry to study in detail as to what is happening, to understand as to where there were shortcomings and also to look at the need for amendment in the acts, if necessary," Nirmala Sitharaman said.

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PMC scam protests

Nirmala Sitharaman's press briefing was soon after the protests staged by victims, by barging inside the BJP office in Mumbai. As the PMC bank depositors entered the office, a heated confrontation was witnessed between them and BJP workers at the spot. Speaking to media, the depositors demanded justice and sought assurance on their savings from the PMC bank.

Depositors of PMC Bank also protested outside Mumbai's Killa court on Wednesday, demanding stringent action against the culprits, as police custody of three accused in Rs 4,355 crore scam at the bank was extended till October 14. The Esplanade magistrate's court granted the request of the Mumbai Police's Economic Offences Wing for further remand. Housing Development Infrastructure Ltd (HDIL) chairman and managing director Rakesh Wadhawan and his son Sarang were arrested in the case last Thursday, while former chairman of PMC Bank Waryam Singh was held on Saturday.

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About the scam 

The police registered a First Information Report (FIR) against the top officials of the PMC bank and the promoters of the Housing Development and Infrastructure Limited (HDIL). According to the prosecution, the bank continued giving loans to the debt-ridden HDIL from 2008 to 2019 despite the previous loans not being repaid. This caused a loss of nearly Rs. 4,355 crore. Several sections of the Indian Penal Code (IPC) such as criminal breach of trust, cheating and forgery have been invoked against the accused. 

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