Bank Board Bureau Constituted - Will It Be Panacea For Ailing Banking Sector?

Bank Board Bureau (BBB) has been constituted by the Govt headed by former CAG head Mr Vinod Rai. BBB held its first meeting in Mumbai on 08 Apr 2016.

BBB consists of  chairman, three ex-officio members and three experts. In its first meeting BBB discussed the following :-

1. Board level vacancies of Banks and ways to fill them.
2. How to better recognize the stressed assets and solve them. 
3. Strategies to re-capitalize banks.
4. How to make banks more competitive in the changing financial landscape. 

It is noble for Govt to recognize the need to address the ills that has crippled the banking sector. But will BBB deliver if you have the same old people in its board who created the ill in the first place? Ex MDs and CMDs of banks are in board who in their tenure have created this mess. Moreover ex-officio members have to be from outside the financial agencies, since these very agencies had looked the other way while the NPA mess was being created.

One important aspect that must be included in the agenda of BBB is the means of recovery of bad loans and fixing responsibility of bank officials and regulatory bodies for allowing creation of these stressed assets over such a long time.

After all, we as tax payers need our money back from defaulting and fraud entities masquerading as industrialists. And we need it NOW, without anymore delaying tactics. Should we allow corporate houses of dubious credentials to rob us just like that? Is BBB listening?