Bank nationalization in India: a symposium

BANK NATIONALIZATION has acquired a greater attention with the takeover of fourteen major banks with more than Rs. 50 crores of deposits of the fateful day, July 19, 1969 by an ordiance pro mulgated by the then Acting President. The State has at a stroke acquired control over additional deposits of more than Rs. 2742 crores. Together with the State Bank of India and its subsidiaries, the Government controls more than 85% of total deposits. The ordinance was challenged by a few and a stay order has been issued by a Bench of the Supreme Court till August 11, 1969. However, the ordinance stays and bank nationalization continues to be the burning current topic. A bill to replace the bank nationalization ordinance has been in troduced in the Lok Sabha on Friday, the 25th July, 1969.

By mere coincidence, bank nationalization, the most hotly debated issue, has taken place, before the release of this well documented, objective study-Bank Nationalization-A Symposium. In fact, the book has made an attempt to present pros and cons of the issues of bank nationalization and social control of banks. Under the circumstances, the study of bank nationalization has acquired new dimension. It is, therefore, appropriate to write this post-script to the symposium and discuss the future pattern of banking in the background of pre vailing socio-economic and political conditions in the country..