Meghalaya assembly passes bill to safeguard depositors' interests

SHILLONG: The Meghalaya Assembly has passed a bill seeking to safeguard depositors' interests in the Non-Banking Financial Companies (NBFCs) of the state.

The bill, introduced on March 17 by Donkupar Roy, Deputy Chief Minister, who is also in-charge of Finance, was passed yesterday after the government overruled Independent member Manas Chaudhuri's suggestions for amendment in the bill.

Chief Minister D D Lapang assured the House that efforts would be made for foolproof safeguard of interests of depositors.

Chaudhuri in his amendment had suggested that the financial establishments should be based in Meghalaya so as to minimise scopes of manipulation and duly registered with the authorities.

But when Lapang assured the Assembly to look into these matters, Chaudhuri withdrew the suggestions, after which the bill was passed.

Earlier, introducing the bill, Roy said the move was taken, following reports of some NBFCs mobilising deposits from public and then closing down their operations or vanishing with the money.