Letter to BS More freedom given to bank boards now, says Ravi Venkatesan

The RBI still does not have the statutory powers to appoint and remove PSB board members

This is with reference to "More freedom, flexibility given to bank boards now, says Ravi Venkatesan" (July 10). I disagree that there is more freedom and flexibility for bank boards now, especially with regard to public sector banks (PSBs). There is no change in the manner of appointment of non-official directors, both government and shareholder appointees. No reforms have been undertaken to put independent professionals on these boards. Political appointees and shareholders close to the managing director or the minister of finance continue to grace PSB boards. 

No amendments in regulations has been bought to make them more accountable for decisions