CURRENT AFFAIRS

Detailed explanation-1: -NBFCs fulfilling the following criteria as on date would be required to appoint the IO: a) Deposit-taking NBFCs (NBFCs-D) with 10 or more branches. b) Non-Deposit taking NBFCs (NBFCs-ND) with asset size of Rs. 5, 000 crore and above and having public customer interface.

Detailed explanation-2: -The compensation amount, if any, which can be awarded by the NBFC Ombudsman, for any loss suffered by the complainant, is limited to the amount arising directly out of the act or omission of the NBFC or rupees one million, whichever is lower.

Detailed explanation-3: -The Reserve Bank of India (RBI), on Thursday, introduced Internal Ombudsman mechanism for credit information companies (CICs). The central bank directed all CICs to appoint an internal ombudsman at the apex of their internal grievance redress mechanism by April 1, 2023.

Detailed explanation-4: -How many banking ombudsman are there in India ? Till date twenty-two Banking Ombudsman have been appointed with their offices under the RBI scheme (Banking Regulation Act, 1949 ). This is inclusive of all the Scheduled Commercial Banks, Regional Rural Banks and Scheduled Primary Co-operative Banks in the country.

Detailed explanation-5: -Under the mechanism, all complaints that are partly or wholly rejected by CICs will be reviewed by the IO before the final decision of the CIC is conveyed to the complainant. The IO will not entertain any complaints directly from the members of the public.