FM did not assuage PMC Bank customers' anxiety: Cong

FM did not assuage PMC Bank customers' anxiety: Cong

PMC bank depositors protest outside BJP office during Union Finance Minister Nirmala Sitharaman, in Mumbai, Thursday, Oct. 10, 2019. (PTI Photo)

The Congress on Thursday termed Finance Minister Nirmala Sitharaman's statement on the PMC Bank scam as a "bail-out" for loan defaulters and not for depositors.

Sitharaman, who faced angry depositors of Punjab & Maharashtra Cooperative Bank here before a press conference on Thursday, said a committee will be set up to examine if the laws governing the sector need changes.

"There was no (announcement of) merger or revival plan. Whatever she spoke was mere lip service and eyewash," said Mumbai Congress vice president Charan Singh Sapra.

"Her statement is a bail-out package for defaulters and not for depositors," he said.

"She did not assuage the anxiety of 16 lakh bank customers that their money was safe," Sapra added.

"If in two nights the government can axe thousands of trees in Aarey Colony, can't the government find a solution to the PMC crisis in 17 days? Today, the minister announces setting up of a committee and promises to speak to RBI governor," he said.

PMC Bank is facing a crisis after an alleged Rs 4,500 crore scam came to light. It is alleged that its top officials hid loan defaults by realty group HDIL, which accounted for nearly 70 per cent of its total advances.