Customers remain victims of mis-selling: Deepak Parekh

MUMBAI: Many customers continue to be victims of unscrupulous and exploitative practices like mis-selling of products, especially in the financial sector, mortgage lender HDFC's Chairman Deepak Parekh said today.

"Many consumers still remain victims to unscrupulous and exploitative practices which could manifest in various forms such as mis-selling of products, particularly financial products," he said speaking at an award function here.

He, however, said the financial sector is very well regulated and there are ways of redressal available with the aggrieved parties.

"As far as our financial sector is concerned, fortunately we are at a good regulated conditions. Even in terms of redressal facilities, the regulation is in place," he said.

Parekh, however, refused to take questions from the media on the allegations of money laundering against three of the biggest private sector banks, including HDFC Bank.

A portal, Cobrapost, yesterday had played the contents of purported video recording of officials of three private banks including HDFC Bank, allegedly agreeing to receive unverified sums of cash and put them in their investment schemes and benami accounts in violation of anti-money laundering laws.

However, no account was opened nor any cash deposited in these banks.

HDFC bank in a statement had said that the matter will be probed on top priority.

Parekh also reiterated his demand to have a regulator for the realty sector as soon as possible.

He also demanded a single window clearance mechanism for projects at least for the builders constructing affordable houses, which can pave the way for installing a regulator.

Parekh hoped that the worse for the country's economy is over and said that the fundamentals of the economy, especially the confidence among the consumers, are intact.