Nishka Srinivas Veluvali-
Published On: November 14, 2021 at 16:49 IST
Giving stringent directions to the State Bank of India, the Madras High Court recently ordered that the custom of Collecting Cash handling Charges from Stamp vendors who deposit money via Treasury Challans in the Government account must be stopped right away.
Justice S.M Subramaniam stated very clearly that the two RBI Master Circulars of 2014 and 2021, firmly counted on the State Bank of India to not Approve the collection of cash handling charges on Government transactions.
“State Bank of India cannot misinterpret RBI Circulars”, the Madras High Court noted.
The Court stated that “In the absence of any such specific direction or instructions from Reserve Bank of India, the State Bank of India is not entitled to collect any cash handling charges from stamp vendors. Any such collection must be strictly in accordance with Reserve Bank of India regulations or in accordance with Banking regulation.”
The Madras High Court had also heavily condemned the insensitive conduct of its Officials, that’s was uncovered during the course of the Case.
The Court was disparaging about the statement of the State Bank of India made in counter Affidavit filed by them, that “ It is always open fot the Petitioners to aprach any other bank and continue their banking operations.”
Thus, the Court issued the order asking the Assistant General Manager, SBI to commence disciplinary Proceedings followed by the Enquiry to comprehend under what situations were such statements were Approved in the Counter Affidavit Filed before High Court.
The Court remarked about the requirement of altering the approach followed by the bank Officials towards the citizens and customers:
“These employees/officials must be reminded off that, from and out of the transactions through the customers and citizens, the salary to these employees are paid. Thus, they are obliged to maintain good conduct always and honor the Rights of the people approaching the Bank.”
The stamp vendors had come before the High Court in 2016, requesting the directions to SBI officials to waive off the cash handling Charges imposed against them since January 2015, by refraining in the name of the account as “Commission Account.”
The aforementioned commissions demanded by the SBI amount to Rs.15/- for each bundle of currency consisting of 100 notes, the Petitioner submitted.
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