Dy CM launches portal to keep a tab on NBFCs' functioning

Bihar's Deputy Chief Minister Sushil Kumar Modi today launched a web portal to keep a tab and regulate the functioning of Non-Banking Financial Company (NBFC) to protect the interest of small depositors in the state.
Depositors can also lodge complaints on the site.
"The the main objective of the new portal- nbfc.Bihar.Gov.In- will be to create a data base of NBFCs. The site will help in monitor and control the NBFCs running in the state," said Modi who also holds finance portfolio.
NBFCs will have to furnish details on the site such as the district in which it is registered, its name, registration number, whether or not possess licenses from regulatory bodies like RBI, SEBI, Registrar of Companies, Registrar of Cooperative Companies and annual audited return among others, the minister said.

Referring to Bihar Protection of Interest of Depositors Act 2002 which was amended in 2013 in the wake of Saradha chit fund and again amended in 2017, Modi said that the state government had made the law more stringent by introducing certain amendments into the Act.
As per the Act, apart from Dy Superintendent of Police, police inspectors have also been empowered to investigate the cases, he said

NBFC firm cannot take deposit for less than a year and a maximum for five years with offering a maximum interest rate of 12.5 per cent per annum, he said and added that Rs one lakh can be imposed as fine on the company if it violated the provisions of the Act.

At present, 129 cases of fraud and irregularities- committed by NBFCs are pending in the state which are being tried at special courts constituted in nine divisional headquarters.
Of the 129 cases, charge-sheet has been filed in 29 cases, he said and added that 137 cases, apart from 129 cases, are being probed by other regulatory bodies such as RBI, SEBI etc.
Modi said that IT enabled services would be introduced in order to reduce human interface to check corruption.
"It will be our efforts to see the people get maximum facilities/services online...We will also see as which types of schemes can further be implemented through Direct Benefit Transfer," Modi said.

Stating that he reviewed the implementation of Goods and Services Tax (GST) yesterday, he said that traders had complained of difficulties in the implementation of the new indirect tax regime.
"We'll hold a meeting of representatives of chamber of commerce from major district tomorrow in the state capital where we'll try to know as what kind of difficulties they are facing in the implementation of GST and how it be can be removed. We will raise the issue in the GST council meeting scheduled to be held on August 5," Modi said.