The Reserve Bank of India on Thursday hinted at a major clamp down on the unregistered non-banking finance companies raising funds in the northern part of the country.
The central bank has asked the state governments, especially Delhi and Haryana, to expedite the implementation of legislation for the protection of the interests of depositors and Chit Fund Act of 1982, an RBI release said in New Delhi.
In its sixth meeting of the state level co-ordination committee, the RBI sought greater cooperation and sharing of information from the states for effective control over the unauthorised deposit accepting activity of unincorporated bodies and NBFCs, whose registrations have been cancelled.
The RBI has urged Haryana to accord topmost priority to set up an economic offences wing and economic intelligence wing for the protection of depositors' interests.
"The SLCC meeting was held to appeal all the concerned government departments to actively involve themselves in tracking the wrongdoers and also initiating necessary steps at the state and district levels to facilitate the redressal of depositors' grievances," it said.
While elaborating on the various provisions of the Financial Companies Regulation Bill, RBI said it has strengthened the monitoring and supervisory mechanisms on the NBFCs.
The meeting, chaired by the RBI regional director Ramesh Chander, was attended by the senior government officials of Delhi and Haryana.