Banks to be made answerable for priority loans

New Delhi, Jan 20: The Government has directed all banks to provide preferential loans to minorities and would ensure its implementation through proper administrative machinery.

Cabinet Secretary B K Chaturvedi said here that under the initiative taken by the government, a proper administrative device would be adopted and banks would be made answerable if they did not give loans to minorities.

Generally the banks have a tendency to go only in profit making segment, but by the new directive they would not have to focus on areas dominated by minorities. If they are unable to disperse the loans to minorities, they would be answerable to the government, Mr Chaturvedi said.

The decision by the government has been taken in view of the Sachar Committee report highlighting the backwardness of the minority community.

Meanwhile, the centre has also aksed the police organisations, banks, PSUs, railway and other departments to step up recruitment from the minority community. The Personnel Secretary L K Joshi has written to secretaries recently asking for the reconstitution of the selection committees for group C and D employees to ensure adequate representation of members from the minority communities.

UNI