Guidelines of wise men

With reference to “Monumental failures of RBI” (August 23), Gajendra Haldea has said that it was the Reserve Bank of India’s (RBI) job to lay down effective (lending) norms and guidelines to banks. The RBI had laid down comprehensive norms and guidelines to banks in 1975. These were evolved not internally by the RBI bureaucracy and dictated by it to banks. They were based on recommendations of a study group (later known as Tandon Committee) appointed by RBI under Prakash Tandon, the much celebrated then chairman of Punjab National Bank and comprising 14 other eminent men.

These wise men, after year-long