The DICGC (Amendment) Act, 2021 came into force from September 1, 2021 for insured banks DICGC Act, 1961. As per the amendment, the DICGC will pay up to Rs 5 lakh to the depositors of the insured banks within 90 days of the submission of the claim.
Cabinet approves DICGC Act ensuring Rs 5 lakh for depositors in 90 days; Center also approved the LLP bill
The Union Cabinet on Wednesday approved amendments to the DICGC Act to provide access to up to Rs 5 lakh to account holders within 90 days coming under the bank’s moratorium to ensure timely assistance to depositors. To promote ease of doing business as well as incentivize the startup ecosystem, the government on Wednesday approved amendments to the Limited Liability Partnership (LLP) Act, decriminalizing 12 offenses under the law.
“Necessary instructions have been issued to these banks to submit the claims within 45 days after receiving the willingness of the depositors to claim the deposit insurance,” the DICGC said in a statement.
The claims will be verified and settled by the DICGC within the next 45 days on submission of the above list by the banks.
Banks have been asked to submit claims latest by October 15 and update the list as on November 29, 2021 with principal and interest in the final updated list, so that DICGC can settle the claim and discharge its insurance liability in full as per norms. able to discharge .
“It is advised that the depositors may approach the said banks and submit a declaration of willingness and also update any other documents/information as may be required by the bank, so that their claims may be processed by the bank by October 15. to be included in the list. “DICGC.
The Deposit Insurance and Credit Guarantee Corporation (Amendment) Bill, 2021 was approved last month to ensure that account holders get up to Rs 5 lakh within 90 days of the RBI imposing a moratorium on banks. Last year, the government increased the insurance cover on deposits by five times to Rs 5 lakh.