National Organisation of Bank Officers to meet in Jaipur

Jaipur, June 22 (UNI) The National Organisation of Bank Officers is organisng its 11th All India Tri Annual Conference on June 25-26 in Jaipur to deliberate on the outstanding issues and the present threat to banking industry.

Addressing a press conference here today, general secretary of the organisation Bapu Joshi said, the meeting would discuss the outstanding issues of second option for pension to the employees, appointment on compassionate grounds, recruitment and outsourcing policy, merger and acquisitions and the proposed amendments to the Banking Regulation Act.

Speaking on the occassion president of the organisation Sharad Joshi said the government has decided to permit FDIs in the banking sector upto 74 per cent. At present there is a ceiling of 10 per cent on the voting rights of the share holders and there is a proposal to remove this cap on voting rights by which huge deposits can be put at the disposal of foreign investors.

Elaborating the point he said, the total capital of the 28 private sector banks in the country is worth just Rs 3,500 crore, while the savings of the people available with these 28 banks is more than Rs 4,50,000 crore.

He said with the passage of the Bill amending section 12 (2) of the Banking Regulation Act will empower the investors in the private banks to control huge savings of the common people with meagre investments. He alleged that the move is to hand over national savings in the hands of private capital-both domestic and foreign- which also result in the dilution of government equity.

UNI