Nirmala Sitharaman: Re-structuring plan introduced for YES Bank

by Jeremy Spirogis
India's cleanest city for 4th consecutive time

new Delhi: Finance Minister Nirmala Sitharaman held a press convention on Friday night within the case of Yes Bank. Finance Minister Nirmala Sitharaman stated on the press convention tax financial institution's disaster that the Finance Ministry and Reserve Bank Governor Shaktikanta Das are always monitoring the state of affairs. On the Yes Bank Crisis, Finance Minister Nirmala Sitharaman gave a press convention in regards to the steps being taken to beat the disaster. He stated that the Reserve Bank has been keeping track of this since 2017. Yes Bank might be re-structured inside 30 days. Complete data is given on the RBI web site concerning re-structuring. <! –

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  • The Reserve Bank stated that Yes Bank's capital at Rs 5,000 crore. Strategic Investors Bank will make investments 49 per cent fairness.
  • The Reserve Bank additionally stated that Strategic Investors Bank will be unable to deliver down its stake in Yes Bank under 26 p.c earlier than three years.
  • Yes Bank has given loans to firms like Anil Ambani, Essel Group, DHFL, Vodafone which have defaulted.
  • All these circumstances date again to 2014, when the UPA was in energy.
  • State Bank has proven the curiosity of funding by Yes Bank.
  • Yes Bank might be re-structured inside 30 days. This scheme has been introduced by the Reserve Bank.
  • All efforts had been made to get funding from the financial institution, however nothing could possibly be carried out.
  • The Reserve Bank has stored an in depth watch on the functioning of this financial institution since 2017.
  • Please inform that Yes Bank was established in 2004. Yes Bank gave loans to the incorrect individuals. In September 2018, the Reserve Bank determined to vary its board.
  • The financial institution was negligent in disbursing loans, as a result of which the financial institution has been buried beneath unhealthy loans today.
  • The new CEO of the financial institution was appointed in September 2018.
  • The chairman of Yes Bank additionally dedicated corruption and was additionally beneath the scanner of the CBI.
  • The new CEO has been appointed in March 2019.

Know what’s the motive for the disaster?

Nirmala Sitharaman advised that the foundations weren’t being adopted by Yes Bank. The financial institution took dangerous credit score choices. Yes Bank has given loans to firms like Anil Ambani, Essel Group, DHFL, Vodafone which have defaulted. All these circumstances are earlier than 2014 i.e. UPA reign.

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