§ 13. Sir G. SCOTT ROBERTSONasked the Under-Secretary of State for India whether he has received reports of any general anxiety in the minds of the people of India as a result of recent bank failures; have deposits in the Post Office Savings Banks increased significantly of late, or is further hoarding or melting of gold for ornaments suspected; are legal proceedings contemplated against any of the persons connected with the management of the banks referred to; and are any alterations of the law relating to banking in India under consideration?
§ Mr. C. ROBERTSThe information received is that the recent bank failures in India have weakened confidence in banking institutions; that deposits in the Savings Banks have in consequence materially increased, but that there is no clear evidence of increased hoarding or melting of gold. Legal proceedings have been taken, or are contemplated, in cases where the liquidators' reports indicate fraudulent management. The regulation of banking in India has for some time been under the consideration of the Government.