BANKING AFFAIRS

Detailed explanation-1: -With a view to integrating the functions of deposit insurance and credit guarantee, the above two organizations (DIC & CGCI) were merged and the present Deposit Insurance and Credit Guarantee Corporation (DICGC) came into existence on July 15, 1978.

Detailed explanation-2: -In 1978, the DIC and the CGCI were merged to form the Deposit Insurance and Credit Guarantee Corporation (DICGC).

Detailed explanation-3: -In July 1978, DIC assumed also the function of credit guarantee and hence was renamed as Deposit Insurance and Credit Guarantee Corporation (DICGC).

Detailed explanation-4: -The Deposit Insurance and Credit Guarantee Corporation Act, 1961. Long Title: An Act to provide for the establishment of a corporation for the purpose of insurance of deposits and guaranteeing of credit facilities and for other matters connected therewith or incidental thereto. Ministry: Ministry of Finance.

Detailed explanation-5: -IInitially, under the provisions of Section 16(1) of the DICGC Act, the insurance cover was limited to 1, 500/-only per depositor(s) for deposits held by him (them) in the “same right and in the same capacity” in all the branches of the bank taken together.