CALCUTTA (PTI): The Chief of a Parliamentary panel that probed the multi crore securities scam in India recently warned that the Foreign Investment institutions (FIs) and the Foreign Banks (FBs) should be carefully watched and thoroughly monitored to avoid recurrence of scams.
Justifying the need for stronger regulatory mechanisms, Mirdha ‘Said that out of the total US dollars 20 billion investments in India, a major part was of a very high cost through NRI investment and IME loans. Citing it as a strain on the budget, he said, “direct foreign investment in industry is still low.” Majority investments run as hot money mainly in stock exchanges. Be Sides, the Fills had also secured enough of our money through mutual funds in different cases, putting the Indian economy in trouble, he added.
Article extracted from this publication >> December 9, 1994
