Poor Depositors taken for a ride

Very well said. Indian Financial System particularly the banking system is strong and stable because of the savings habit of the people and unfortunately the same people are being taken for a ride every now and then by fraudsters, bad borrowers, politicians, bureaucrats, lawyers , Chartered accountants, Management experts, regulators and supervisors and bankers. They do not get any sort of protection and on the contrary they are encouraged  rather forced directly or indirectly to keep their savings in banks, Chit fund Companies ,  Non Banking Financial Companies, Capital market etc through small   tax incentives, interest etc  and finally their savings are being misused and liberally abused by the authorities.without giving them any protection to pass on their savings . The trust and confidence the people have in banks get eroded very fast the way the banks fritter away their hard earned savings by allowing borrowers to misuse /divert and writing off of the loans without even the knowledge of the depositors. leave alone with their consent. The banks take the depositors for a ride and when they get liquidated or closed down because of erosion of deposits with bad debts,tax payers have to come their rescue again without their knowledge and save the banks.  The legal system helps the looters instead of the depositors and the DICGC provides an Insurance cover of Rs one lakh for the depositors and how and on what basis this pittance compensation has been fixed,is never questioned or analysed by any authority. The Premiums collected by the DICGC from banks and how they get accounted and what happens to the premium collections etc are never questioned or made transparent. The accountability and Governance standards are the worst one can think of in the economy and unless and until this is fixed,the 5 trillion economic growth will only remain in dream. The depositors and capital formation depend on the trust and Confidence of various institutions and the way the credibility of the Institutions efficacy and delivery of functions gets deteriorated every passing day,, this gets completely eroded and one can expect only  dooms day affecting all. 

(Comment in response to Mr Parikh's observation on the Depositors fate appeared in BS dated 10/10/2019).