For financial sectors, one should collect all available information from public domain and after studying it in details should only file a strong RTI application, says Mr Rao

“The banking sector is one of the most derelict in terms of their services. In my experience, they run away from Right to Information (RTI). This also may be the reason why they attract so many RTI applications,” said Krishnaraj Rao, speaking at an event organised by Moneylife Foundation.

The session on RTI, seventh on the subject organised by the Foundation, focused on the sector of banking and finance along with regulatory bodies like the Securities and Exchange Board of India (SEBI), the Reserve Bank of India (RBI), the pension regulator, capital markets, the stock exchanges (BSE, NSE, MCX-SX and USE) and banks.
 
Mr Rao, a well known RTI activist says, “Private banks are exempted under RTI, while nationalised banks think that their job is to keep the information secret. Co-operative banks have a hazy and confusing position on shelling out information under RTI. This all leads to people wanting to know the truth.”
 
Apart from lucidly explaining the RTI Act, Mr Rao also helped people with framing questions in an RTI application, and also briefed about the kind of information that should be asked and how carefully it should be worded. He also cautioned on wrongly framed questions that can lead to rejection of the RTI application.
 
For instance, on query on usage of RTI on finding out why private banks are charging for closing the account, Mr Rao said that these banks are exempted under RTI and RBI has a policy of forbearance, and has given a freedom to banks for deciding charges and interest. In such case, he explained, one should seek all the manuals, circulars from the RBI on subject of forbearance. But before that one should make a complaint and then create awareness on the subject and then leverage this with an RTI. This will lead to class action and accordingly the regulator can be approached, Mr Rao explained.
 
On the subject of forex cheques taking a lot of time for clearance, a question was poised on how the amount is debited from drawee’s account from the scanned copy immediately, but is not credited, leaving banks to sit on the float and earn on it. Mr Rao said it would be a good case for an RTI application and one should ask different questions through various applications before approaching higher authorities to resolve the issue.
 
According to Mr Rao, a lot of RTI applications, despite getting a reply, are left for no use. But the act of filing an RTI itself is like a show-cause notice for that particular department and it helps in keeping a check on the system, he added.
 
Mr Rao cleared all the doubts of people wishing to file an RTI and appealed to the people to first use the information available in the public domain and then make a strong application. He also gave reference few RTI websites like www.rtiindia.org and other groups.