NEW DELHI: The Union Cabinet Tuesday accepted promulgating a regulation with regard to the Banning of Unregulated Deposit Schemes Bill to secure gullible investors from Ponzi systems.
The reduced Home, or the Lok Sabha, had passed the Bill on the last day of the budget plan session by a voice-vote, yet could not get the authorization of the Rajya Sabha.
This was educated by Finance Minister Arun Jaitley after meeting of the Union Closet.
The Cupboard has actually asked for the President of India to promote a Regulation hereof.
The Expense seeks to put in place a system whereby such depositors can be compensated. It has integrated suggestions of the Standing Committee on Financing.
The regulation is aimed at successfully tackling the menace of immoral deposit-taking activities, and stop such plans from duping the inadequate.
The suggested legislation attends to severe penalty and hefty budgeting penalties to function as deterrent.
The Expense was initially introduced in Parliament on July 18 in 2014 in the Lok Sabha as well as was described the Standing Committee on Financing.