AIBEA General Secretary CH Venkatachalam told reporters that "It was indeed sad that the Centre was making moves to encourage privatization of banks". There was also attempt to bring in merger of banks in the country, he charged.

AIBEA opposed these moves tooth and nail and to highlight the demand, it would stage agitations in two phases, he said.

Venkatachalam said the Association welcomed the Pradhaan Mantri Jan Dhan Yojana to provide bank accounts to every household. This would be of help to ensure the country's fast economic development, he said.

Venkatachalam, however, cautioned that there should be no scope for private players to make inroads into banking sector as ‘they would only pamper the big capitalists.’

There should be, on the other hand, steps to strengthen public sector banks and branches of public sector banks should be opened district wise to ameliorate the poor. Banks should be under government control, he asserted.

He also asked the Centre to take stringent measures to recover bad loans and willful default of loans should be declared a criminal offence.

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