The Bill envisages in case of non-return of depositors' money or any fraud, the defaulter company will attract imprisonment up to six years and fine up to Rs1 lakh and allows to attach properties of managers or owners of such company
Chandigarh: The Punjab Cabinet has approved a bill to safeguard the interest of general public and save them from fraudulent practices of private non-banking finance companies (NBFCs), reports PTI.
The Punjab Protection of Interests of Depositors (in Financial Establishment) Bill, 2012 envisages in case of non-return of depositors' money or any fraud, the defaulter company will attract imprisonment up to six years and fine up to Rs1 lakh, an official spokesman said.
Properties of managers or owners can also be attached, he said.
The Cabinet also okayed the implementation of Punjab Rent Act, 1995 applicable to tenancies existing on the date of notification of the Act.
The existing tenancies will continue to be governed by the Eastern Punjab Rent Restriction Act, 1949, the spokesman said.
The new Act provides for compulsory registration of the tenancy agreement between the landlord and the tenant.