 Hello and welcome to NewsClick. Banking sector has been in use quite a lot lately be it demonetization or the NPA crisis or the recent comments by RBA governor and the different functionaries regarding the privatization of banking sector. So, today we have with us to discuss these issues all India Bank Employees Association's General Secretary Mr. Venkata Chiland. Welcome to NewsClick Mr. Venkata Chiland. So, all the bank employees unions have called for strike on August 22nd. Can you tell us what are the demands and why you have called for the strike? See it's a part of our continuous struggle. See basically the strike is against the government's attempt to implement the banking reforms policy. They want to say for example deny the capital to the banks and then privatize them. They want to make them a consolidated banks by merger of the banks and all these things are going on. But we have a different view from the banking trade unions. We believe that banks are very important if government is talking of development. For development money is required. Money is in the banks. Under the money is in the government hands is not going to help for development. They will use it for personal private profit in private banking. So, banks have to be in public sector. Second of our experience is banks have contributed a lot after public sector. Maybe white revolution, green revolution for a rural development and you name it and banks have done it. Now, if you privatize the whole development will be stopped. So, it is wrong to say that bank is a business. So, it should be in private hand. It's not a government job. It's totally wrong. Secondly, banks are dealing with huge money. Today, it is more than 106 lakh crores almost 80 percent of the total GDP. It is there as deposit of the bank and there is common people's money, domestic savings. So, there must be safety for the people's money. That is available only if it is in government banks. We have private banks. We have seen even now they take people's money and then things happen in the world. It is happening in India. It has happened. Secondly, they are not giving capital. For banks, today there is an international norms that we must keep some capital. If I had to give 100 rupees loan, I should keep at least 10, 12 rupees as capital. And these are all government banks. So, government should give capital. Now, government says no, no, I will not give capital. You have to make your own arrangement. Arrangement means that you have to go to private people and take capital. So, if banks have to do business, we are in search of capital. Government is not giving. This year they have given 10,000. In the next few years, banks will be needing more than 180,000 crores total capital because banks will be expanding. But if government will not give, banks will be compelled to go for private capital. That means privatization. So, they are creating conditions. And so, we are demanding government must give the capital. Government says no, no, we have no money. There is a budget constraint. We cannot give more. All these things, we have already given in the last six, seven years some 17 billion dollars. It looks very big for people like in India. Oh, 17 billion dollars. But throughout the world, governments are giving capital even for private bank, even America, for example, which our government is trying to copy now. There was a financial crisis, 2008, 2009. So far, the government has, United States government has given 2,225 billion dollars. We are given just 17 billion dollars and we are telling we are given. Russian government has given 70 billion dollars. UK government has given some 67 billion dollars. All governments are giving because the government wants banks. In India also, we need banks. Government must find a way to give capital. Secondly, it is not one way traffic. When the banks are earning profit, banks are giving dividend to the government because government is capital is with us. So, we are returning as dividend. And on profit of the bank, we are also returning tax, income tax we are paying. So, in the last seven, ten years, we have paid as dividend and income tax more than 180,000 crores and you have given 10,000 crores and you are telling no, no, it is too much. We cannot give. So, it is absolutely wrong. Government must give capital and banks must be enabled to contribute for national development. Secondly, they are also talking consolidation of banks. Why we need consolidation of banks? Is it that Indian banking is too much that we cannot develop further, we cannot grow further, we have to consolidate the saturation. It is not like that. Banks have huge scope to expand on our country. Globally, in India, the banking density is one of the lowest. Still, we have space to develop the banks in rural area for everything. So, when there is scope to develop, why do you want to consolidate them? They say, no, we want big banks. We want strong banks. We want good banks. We want banks that will help the people. It does not mean that we have to be necessarily big banks. And big bank, there is a risk to risk. One, big bank means they will take care of big people. The tendency will come. There will be insensitivity to small people. Small people need more of banking facility now. So, banks should not become big. Secondly, the banks are too big. They will take more risk because the money will be more. So, naturally, they will give bigger loans. Bigger loan means bigger risk. And so, we cannot afford. I am using people's money. So, I cannot take risk. And we have seen big banks in America. Lehman Brothers, you name it. Where are they? So, big bank doesn't mean strong bank. We need strong banks, good banks. People should be helped by the banks, not necessarily a bigger bank. So, that way also, it is not required. Big bank doesn't mean that it will be helpful to people. In India, there is no need for consolidation. We need expansion. And so, that is also wrong. We are opposing that. So, the NPAs, one of the reasons for push for privatization. NPAs are being shown as one of the reasons, saying that public sector banks make bad decisions in giving loans. That's why NPAs have come. What is the solution from the bank employee's side? We are getting people's money. We are giving us a loan. That loan is not coming back. I can understand agriculture loan. Rain has cheated. Rain is not there. Rainfall is not there. Other problems are there. Farmers are not able to get the produce. So, they are not able to repay the loan. I can understand. Some student has taken a loan. He has finished. He's not getting a job. So, he's not able to repay. I can understand. But big people, industrialists, corporate people, they have taken huge loan. And companies are making profit. But they say, no, no, we have no money. We are not returning. So, money is stuck up. Today, it is 15 lakh crores of money, big money. And these loans are not coming. So far, they have been doing this camouflage, just making them restructuring, restructuring, telling it is good loan. Now, it is no longer possible to hide it. So, everything is coming out open. And so, they say, no, no, we have to resolve the bad loan. We should resolve how I have given money. I must get it back. Now, they say, no, no, I want to resolve it, not by recovery, but by other method. What is the other method? No, no, you give concession. Earlier, they were giving concession on interest. Now, they say, in entire loan, I will give concession. I have given you 100 crores. Give me 10 crores. Or we will go to the court. We will resolve it. Resolvation means I will not get the entire money. For the remaining money, suppose after 100 crores, I get 10 crores. How to adjust 90 crores? That means I have to write off. From where I will write off? From the earning. From where I earn? From people's money, I do business and earn. And that money will be used for writing out the loans of the big people. And some of them are having the capacity to pay. Kingfisher Malia, for example, 9000 crores. He has got bungalow. He has got property. He has got other business. So, we are telling deliberately he is not repaying. Declare people like him as a willful defaulter and make it as a criminal offense. I have the ability to pay. I do not pay. So, it is a criminal intention. So, criminal action must be taken. That is not being done. Now, government reserve bank themselves have said that only 12 people, this Rua, then this Bush and Steele, all these type, 12 people, 250,000 crores. So far, they were hiding. Now, it has come out openly. So, we will go to the court and reserve bank says, even if you go to the court, we may not get much money. Out of 250,000 crores, 60-70 percent money will not come. That means huge money will be written off. So, this is a loot of people's money, simultaneously. This is interesting. For them, you are willing to write off the money. But now you say, no, no, we are writing out. So, my revenue has come down. My profit has come down. I have to increase my revenue. And now, they are taxing the people. You use your ATM card, I will charge you. You do not use your ATM card, I will charge you. You come to the bank inside, I will charge you. You withdraw money for more than five times, I will charge you. You want checkbook, I will charge you. Now, interest on saving deposit is reduced. Who is opening a savings account? Ordinary people, poor people. So, for them, you will reduce their interest. And for big people, you will get concession and write off. So, it is completely unacceptable. It is very unfair. I use your money and I will penalize you. I will give your money to somebody and I will give all privilege to him. So, these are all things. Plus, our own issues are there. You know, eight months ago, seven months ago, the demonetization. We worked a lot day and night. They said, very good, very good. But they have not given us the required payment over time, etcetera. Banks have spent a lot of money. When banks are in difficulty, at least the government should come because it is a government scheme. To implement government scheme, I have spent a lot of money. Banks are spent. So, we are demanding you reimburse. At least to that extent, banks will be saved. Now, simply they say, you give sub-derived. That is like Air India. Air India is operating in all un-reminerative areas and they are in loss and they privatize. Similarly, banks, we are helping people. Then we are in loss and then you privatize. So, this is no good. So, to draw the attention of the people to convey our protest and to save the banks in public sector, this strike has been called by all the nine unions under the United Forum of Bank Unions. In fact, we want to increase the awareness of the people. That is no longer only employee issue, bank employee issue. It is a national issue. It is a people issue so that they will also understand. They will support. Unless we can really arrest this trend of writing of the bad loans and taking stringent measures to recover the money, banks will be in difficulty. In India, banks are dealing with people's money. So, we cannot afford to play gambling with these people's money. That is why this strike. Thank you, Mr. Anupnath. Thank you very much. Thank you for watching NewsClick. Do keep watching us on newsclick.in.