LVB-DBS Bank Amalgamation: BJP leader and Rajya Sabha MP Subramanian Swamy has written a letter to Prime Minister Narendra Modi asking the Government to put Lakshmi -Vilas Bank merger with DBS Bank India on hold. Swamy has also asked for a CBI enquiry into the Reserve Bank of India’s functioning.
Lakshmi Vilas Bank (LVB) was amalgamated with DBS Bank India Limited (DBIL) the wholly owned subsidiary of Singapore-based DBS Group Holdings Ltd, towards the end of November. In a statement, DBS Bank said that the scheme of amalgamation is under the special powers of the Government of India and Reserve Bank of India under Section 45 of the Banking Regulation Act, 1949, India, and has come into effect on November 27, 2020.
— Subramanian Swamy (@Swamy39) December 3, 2020
In the letter to Prime Minister, Swamy made four requests to the government, as listed below:
- Put on hold with a view to a forensic audit of the takeover of the assets of LVB by DBS
- Assess the allegations against the DBS made internationally and DBS in home country viz. Singapore on money laundering.
- Request for an investigation by the Central Bureau of Investigation (CBI) into the functioning of the RBI, especially in the light of the fact that CBI has never found it necessary even to investigate any office of the RBI in any of the high-profile scams.
- The healthy functioning of RBI must remain one of the high priorities of our government. And hence the present RBI Governer be sent on indefinite leave till the investigations are over. The RBI and Advisory Committees to be re-constituted.