Impact of FRDI: Banks flooded with customers for withdrawing cash

Impact of FRDI: Banks flooded with customers for withdrawing cash
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Hyderabad: After the publication of the news that Govt. of India is contemplating to enact a legislation which gives powers to the bankers to transfer saving bank amounts into fixed deposits for using them for other purposes, customers rushed to the banks to withdraw their money.

Although bank authorities put up notices assuring the customers not to worry about their money, they did not pay heed to them.

The banks made an attempt to highlight the criticism made by Finance Minister, Mr. Arun Jaitley on opposition parties that Govt. has no such intention to use public money without taking consent by the customers but the people were not convinced.

All the political parties are saying that if the entire amounts are invested in fixed deposits, the customers will have no option to approach the court for making an appeal.

These parties created a panic by exposing the intention of the Govt. to pass Financial Resolution and Deposit Insurance Bill. They are saying that Govt. intends to take this step to save banks and financial institutions from going bankrupt.

–Siasat News