Banks get ₹5,729 crore from DEA fund to refund unclaimed deposits: Karad
₹5,729 crore from the “Depositor Education and Awareness" (DEA) Fund to facilitate the refund of unclaimed deposits, said Union minister of state for finance, Bhagwat Kisanrao Karad on Monday. The “Depositor Education and Awareness Fund Scheme, 2014", which was issued by the Reserve Bank of India (RBI), outlines regulations pertaining to unclaimed deposits and details the usage of the fund, including its role in promoting depositors‘ interests and supporting specified purposes.
In a written response to a question in Lok Sabha, Karad said the combined efforts to reunite unclaimed deposits with their rightful owners or claimants have resulted in the transfer of ₹5,729 crore from the DEA Fund to various banks over the past five years. The minister elaborated on the measures implemented by the RBI to effectively reduce the number of unclaimed deposits and ensure their rightful restitution.
Among the directives issued to banks are the public display of lists featuring inactive or inoperative unclaimed deposits, which have remained untouched for a period of ten years or more. Additionally, banks are encouraged to diligently track down the customers and their legal heirs to facilitate the rightful return of unclaimed deposits.
To streamline the process, banks are also required to devise board-approved policies for the classification of unclaimed deposits and set up efficient grievance redressal mechanisms for the swift resolution of complaints. Adequate record-keeping and periodic reviews of unclaimed deposit accounts are mandated as well.
RBI has announced to set-up a centralised web portal for public to search unclaimed deposits across multiple banks, the minister said. RBI has launched the campaign “100 Days 100 Pays" for
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