Active Stocks
Fri Apr 12 2024 15:57:45
  1. Tata Steel share price
  2. 163.50 -1.00%
  1. NTPC share price
  2. 362.00 -0.32%
  1. ITC share price
  2. 430.10 -1.56%
  1. HDFC Bank share price
  2. 1,518.90 -1.10%
  1. State Bank Of India share price
  2. 766.75 -1.57%
Business News/ News / India/  PSU banks unclaimed deposits of over 35,000 cr transferred to RBI: MoS Finance
BackBack

PSU banks unclaimed deposits of over ₹35,000 cr transferred to RBI: MoS Finance

These unclaimed deposits was in respect of deposits which have not been operated for 10 years or more, belonged to 10.24 crore accounts

SBI tops the list with ₹8,086 crore of unclaimed deposits, followed by Punjab National Bank with unclaimed deposits of ₹5,340 crore. This is followed by Canara Bank with ₹4,558 crore (Photo: Mint)Premium
SBI tops the list with 8,086 crore of unclaimed deposits, followed by Punjab National Bank with unclaimed deposits of 5,340 crore. This is followed by Canara Bank with 4,558 crore (Photo: Mint)

Unclaimed deposits of about 35,000 crore as of February 2023 were transferred to the Reserve Bank by public sector banks (PSBs), the Parliament was informed on Monday.

These unclaimed deposits was in respect of deposits which have not been operated for 10 years or more, belonged to 10.24 crore accounts transferred to the Reserve Bank of India (RBI) as of the end of February 2023.

"As per information available with the RBI, as of the end of February 2023, the total amount of unclaimed deposits transferred to RBI by PSBs in respect of deposits which have not been operated for 10 years or more was 35,012 crore," said Minister of State for Finance Bhagwat Karad in a written reply in the Lok Sabha.

State Bank of India (SBI) tops the list with 8,086 crore of unclaimed deposits, followed by Punjab National Bank with unclaimed deposits of 5,340 crore. This is followed by Canara Bank with 4,558 crore and Bank of Baroda with unclaimed deposits worth 3,904 crore.

To a question that if SBI officials do not assist/extend any help to the family of deceased and even they do not contact the family who have submitted death certificates of deceased, the minister said, the bank provides help to family of the deceased in settling all cases of claims.

"Settlement of account (s) of deceased constituent are taken up on priority by SBI. SBI staff has been sensitised and instructions are reiterated in all forums of banks at regular frequency," he said.

For the convenience of SBI customers, he said, the details/ process of settlement of claims without legal representation in respect of account(s) of deceased constituents, the specimen of prescribed forms, as well as updated FAQs for easy understanding have been uploaded on SBI’s website.

Every application for settlement of the account of a deceased constituent received at the SBI branch is duly acknowledged, the reply said.

Banks have also been advised to consider launching a special drive for finding the whereabouts of the customers/legal heirs in respect of accounts which have become inoperative, i.e., where there are no transactions in the account over a period of two years, it said.

"Further, it said, banks are required to display the list of unclaimed deposits/inoperative accounts which are inactive / inoperative for ten years or more on their respective websites, with the list containing the names and addresses of the account holder(s) in respect of unclaimed deposits/ inoperative accounts," it said.

Finally, it said, banks have been advised by RBI to play a more pro-active role in finding the whereabouts of the account holders whose accounts have remained inoperative.

Karad said the government’s intent to take up privatisation of two Public Sector Banks and one Public Sector General Insurance Company along with approval of a policy of strategic disinvestment of Public Sector Enterprises was announced in Union Budget 2021-22.

Consideration of issues related to disinvestment and decision on selection, terms and conditions, etc. in case of strategic sale is entrusted to the Cabinet committee designated for this purpose under the Government of India (Transaction of Business) Rules, 1961, it said.

The amendments to the relevant Acts are required before initiating the process of privatisation, it said. The necessary legislative amendment to the General Insurance Business (Nationalisation) Act, 1972 has been enacted, it said.

Further, representations, opinions or recommendations on various issues including, privatisation of PSBs, received by the Government from time to time are suitably examined.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 03 Apr 2023, 06:22 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App