The Standing Committee on Finance is expected to submit its report on chit funds and Ponzi schemes before the Monsoon session of Parliament scheduled in mid-July. The Committee on Friday completed deliberations on the issue in the wake of the Saradha scam in West Bengal.

“Now, we will be working on finalising the report, which then can be submitted to the Speaker even before beginning of the next session,” a panel member said. The Committee is headed by senior BJP leader and former External Affairs and Finance Minister, Yashwant Sinha.

On Friday, the committee heard the views of SEBI (Securities and Exchange Board of India) Chairman U.K. Sinha.

Panel members expressed concern on the delay in refunds to the affected investors.

“In the case of Ponzi schemes, after much hue and cry, FIRs will be lodged and the promoters arrested, but this does not give relief to the investors. So, the first effort should be to help the investor to get the money back,” a panel member said, adding that such companies should be given time to convert themselves in a fully compliant ones. The Committee also heard views from a delegation of the All-India Chit Fund Association.

shishir.Sinha@thehindu.co.in

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