The Assembly on Wednesday passed the Bihar Investors’ Interests Protection (Amendment) Bill, 2013, with a voice vote.
The bill is aimed at tightening the noose around non-banking money raising companies. “We have a 2002 act defining the actions to be taken against the non-banking institutions. But it is too toothless to nail the culprits involved in cheating small investors, particularly in the rural areas,” water resources minister Vijay Kumar Choudhary said, moving the amendment bill.
He said: “The amendment bill has empowered the district magistrate or the senior-most additional district magistrate to keep a tab on the para-banking companies in their respective jurisdictions and initiate punitive action against them on complaints of irregularities.” Besides, the amendment bill has also proposed that only a deputy superintendent of police-rank officer of the economic offences unit would carry out the probe against the offenders. “The proposed legislation has also empowered the state officials concerned to inspect offices of suspicious money-making firms and peruse their documents,” said Choudhary adding: “In the event of the seizure of the companies’ assets, the government would keep the interest of the investors in mind while appropriating the assets.”
Sources said the Bengal government’s crackdown on the Sharada group had raised the alarm in Bihar too, goading the state government to strengthen the legislation guarding the interest of small investors.
Choudhary added that the bill — after it becomes an act following the clearance from the Council and the governor — would warrant upon the para-banking companies to make their activities transparent by opening websites and showing the list of investors and amount invested. “They will have to register themselves in Bihar even if they belonged to other states,” he said.
Bodhgaya debate
Speaker Uday Narayan Chaudhary agreed to hold a special debate at on Friday on the terror strike at Mahabodhi Mahavihara and other issues as the BJP members wanted an adjournment motion on the “deteriorating” law and order situation in the state.
