Passport Details Mandatory for Availing Loans of Rs 50 Crore and More, says Finance Minister!

Passport Details Mandatory for Availing Loans of Rs 50 Crore and More, says Finance Minister!: – Well, as you all may know that big frauds are being the headline of the news and media channels in India for a very long time. We all know that every month we read a new scandal or fraud of money. Late but finally the Indian Finance Ministry on Saturday said that passport details of borrowers taking loans of Rs 50 crore and more have been mandatory to ensure a swift action against fraudsters. This is great news and we hope that Indian Banks and other agencies will follow these orders.

Passport Details Mandatory for Availing Loans

As you all may know the recent Rs 12,636 crore frauds at state-run Punjab National Bank which made us all shocked and we all know that how these accused run away and crook us.  We are expecting that this new law will make some trust and legalization in between both parties who are taking and giving the loan. As per the reports, Rajiv Kumar, secretary, department of financial services wrote on Twitter that,”Next step on clean and responsible banking. Passport details must for loans above Rs 50 crore. Step to ensure quick response in case of fraud.”

Passport Details Mandatory for Availing Loans

Even, he added that this is a preventive step to avoid a flight of economic offenders and banks to collect passport details of all new borrowers of loans in excess of Rs 50 crore. He said, “For all existing loans of over Rs 50 crore, banks have been asked to collect passport details of borrowers within 45 days.” This is something great because it is one of the very needy steps to be taken when it comes to the fraud like this.

Also, the reports are saying that the decision has been taken nearly a week after the Cabinet approved the Fugitive Economic Offenders Bill after Nirav Modi and his uncle Mehul Choksi allegedly defrauded state-owned Punjab National Bank (PNB) of Rs 12, 636 crores. These passports details will help out banks in future if they wanted to take timely action against big defaulters like Nirav Modi, Mehul Choksi, Vijay Mallya and Jatin Mehta who have fled the country in futures.