[HumJanenge] Re: MoneyLife : RTI action makes 105 branches of leading banks become “customer-sensitive”

A well known tale from Aesop's fables about the "fly on the wheel"

"Look, what a lot of dust I raise," says the fly on the axle of the chariot."

Moral: Its the chariot which raises the dust and not the fly.

On 3/28/12, lokesh batra <batra_lokesh@yahoo.com> wrote:
> http://www.moneylife.in/article/rti-action-makes-105-branches-of-leading-banks-become-customer-sensitive/24571.html
>
> RTI action makes 105 branches of leading banks become "customer-sensitive"
>
> March 28, 2012 12:10 PM
>
>
> RTI activist Commodore Lokesh Batra uses RTI to make RBI act in public
> interest when a Supreme Court order asked 105 branches of leading banks in
> Noida to shift out from the residential zones they have ``illegally''
> occupied, setting off a panic among several lakh citizens
>
>
>
> Imagine the bank which is in your neighbourhood suddenly decides to move to
> another location? Obviously, you would panic, particularly if you have a
> locker where you keep your precious jewellery and other stuff. This is
> exactly what happened when in December 2011, the Supreme Court ordered that
> 104 branches of 21 major banks which since decades, had 'illegally' occupied
> residential areas in Noida, shift out. The court ordered the Noida Authority
> to seal the branches of these banks if they failed to comply with the order.
>
>
> Nervousness set in amongst customers who number nearly 10 lakh, resulting in
> panic emptying of lockers and in some cases, protests in front of some
> banks. The writ petition was triggered by a residential property owner, who
> gave his property on lease but it was subsequently rented out to a bank and
> another commercial outfit. At the fag end of this legal intervention came
> the Supreme Court judgment asking all banks in residential areas to vacate
> or have them sealed. The banks appealed for four months' time to build
> strong rooms, etc, but since the Supreme Court did not acknowledge the time
> frame in its order, panic set in. Now, the next hearing is on 30th March.
>
>
> What is interesting is that while the Noida Authority began following the SC
> order promptly to the extent of sealing three banks, no one thought of the
> poor, helpless customers who were at the receiving end; senior citizens
> would have to bear the maximum brunt of this sudden action. Leading RTI
> (Right to Information) activist of Delhi, Commodore Lokesh Batra intervened
> with the powerful and people-friendly weapon of RTI. His main concern was
> that peoples' sentiments should be kept in mind before such a mass eviction.
>
>
> 2nd February: Commodore Batra sent an email to VS Das, executive editor,
> Reserve Bank of India (RBI), stating, "I am writing this with urgent plea
> for RBI's intervention to assure safety of assets of customers holding
> accounts and lockers in Noida. You may be aware that about 104 branches of
> various leading banks are operating in Noida from residential areas for
> decades now. In a recent order, the Supreme Court has directed the Noida
> Authority to get these banks' branches vacated from their present location.
> However, the time given is too less for these banks to find alternate sites…
> Starting 1 February 2012, the Noida Authority has started sealing these
> banks. This has triggered panic amongst customers as they are not sure about
> the safety and security of their bank assets and belongings kept in lockers.
> I submit you to issue necessary guidelines/instruction to concerned banks in
> Noida to ensure safety of lockers during their shifting process and other
> interventions to curb panic amongst customers."
>
>
> Predictably, there was silence from the RBI, so in the first week of March
> he invoked the RTI Act, to find out what action the RBI has taken after he
> shot off the letter on 2nd February. He also filed a RTI application to the
> ministry of finance to find out what action was taken of a similar letter
> written to it on 8th February.
>
>
> Following were the revelations under RTI:
>
>
> On 16 March 2012, information under RTI by the RBI revealed that "a copy of
> the email dated 2nd February 2012, had been forwarded to our Department of
> Banking Supervision (DBS), Lucknow, as the branches in Noida are under its
> jurisdiction. Copies of the said email had also been forwarded to Regional
> Director, New Delhi and Regional Director, Kanpur."
>
>
> The copy of the email forwarded by Deepak Singhal, Regional Director, Kanpur
> on 2nd February itself stated, "Please look into the trailing mail (Comm
> Batra's). In co-ordination with the Lucknow office you may like to call a
> meeting of bankers having branches in Noida to see what can be done to allay
> the fears in the mind of customers of Noida branches. They need to be
> assured that their valuable in lockers are safe."
>
>
> Thereafter, RTI documents revealed that the Department of Banking
> Reservation, RBI, Lucknow, indeed held an 'emergency' meeting with the
> controlling heads of the 21 banks, after Commodre Batra's letter and that
> too on the same day—3rd February itself.
>
>
> (Incidentally, an official written by an assistant general manager to the
> chief general manager in charge of the Department of Banking Supervision
> reveals that:
>
>
>
> "These 21 major banks have 211 branches out of a total of 260 branches of 41
> banks in Noida, i.e representating 81% of branches."
>
>
> The internal document of the RBI states, "a meeting with the controlling
> heads was held in RBI, Lucknow on 3rd February… The issue of sealing of
> banks… was discussed at length."
>
>
> "Considering the panic in the public following the newspaper reports on the
> issue, the house resolved as under:
>
>
> "The customers will be advised by the banks through email, SMS, notce
> displayed at the branches and personnel posted at the branches regarding the
> alternate arrangements made for the conduct of smooth banking functions
> including locker operations up to 5 March 2012 (now extended to 30th March),
> the next date of hearing/time given by the Supreme Court…"
>
>
> The branches of banks affected by the Supreme Court order are: Allahabad
> Bank (6 branches); Axis Bank (5); Bank of Baroda (5); Bank of Maharashtra
> (3); Bank of India (9); Canara Bank (11); Central Bank of India (5);
> Corporation Bank (7); Dena Bank (2); HDFC Bank (18); ICICI Bank (6); Indian
> Overseas Bank (10); Oriental Bank of Commerce (25); Punjab National Bank
> (26); State Bank of India (35); Syndicate Bank (20); UCD Bank (2); Union
> Bank of India (6); IDBI Bank (3); Vijaya Bank (4); Union Bank of India (3).
>
>
> On 8th February, Comm Batra also filed a RTI application to the ministry of
> finance, Department of Financial Services asking what action was taken on
> his letter in which he sought the government's intervention in reducing the
> panic of the customers and in helping banks to get more time to shift their
> premises.
>
>
> On 1st March, the ministry of finance sent a letter to the Public
> Information Officer, Reserve Bank of India, stating, "We request Reserve
> Bank of India to examine the matter and take appropriate action in this
> regard."
>
>
> Thanks to Comm Batra, the banks, since February, have been holding regular
> press meets/sending press releases assuring the customers that there would
> be no knee-jerk reaction and they would be amply informed through SMS and
> emails of the situation of their eviction and transfer to new 'legal'
> premises.
>
> Hail RTI !
>