1) The Competition Commission of India, has in a recent order is reported to have, heftily penalized eleven big cement companies to an extent of Rs. 6300 crores, for collusive practices aimed to push up prices to their mutual advantage, The order is appealable, but still welcome. The companies were reportedly found by the regulator to have in a coordinated manner restricted supply and despatch, even while capacity and demand existed, in order to escalate the price,.
This exemplary penalty, hopefully, makes mega corporates, why mega, all corporates, think twice before adopting collusive practices to get unduly profited at the expense of the consumer.
2). Regulators in the US and Britain reportedly found that the British Bank, Barclays had manipulated the London Inter-Bank Offered Rate ( LIBOR, for short ), to increase it’s traders’ profits over several years. It is reported that Barclays agreed to pay over
$ 450 millions to resolve the accusations. Other similar banks who in a like manner chose to wrongfully influence the LIBOR by providing cooked-up xdata are also expected to face similar penalties. Interest rates on mortgages and consumer loans depend on LIBOR.
3) Insurance Regulatory Authority of India, ( IRDA) , has slapped a fine of Rs. 1,47 crores on HDFC Life Insurance., The insurer reportedly failed to honor a death claim in violation of certain regulatory provisions.
4)The Deputy Governor of RBI, while addressing a Banking Tech Summit in Mumbai,reportedly cautioned bankers, both private and state-run, to desist from misguiding investors through creating a false impression by attributing their fall in profits, to the migration to the system-generated mechanism to identify their non -performing assets. (NPA).
As Bertrand Russell had said, ” If two hitherto rival football teams, under the influence of brotherly love, decided to cooperate in placing the football first beyond one goal and then beyond the other, no one’s happiness would be increased. There is no reason why
the zest derived from competition should be confined to athletics……….But if competition is not to become ruthless and harmful, the penalty for failure must not be disaster, as in war, or starvation, as in unregulated competition, but only loss of glory.
Football would not be a desirable sport if defeated teams were put to death or left to starve.
It is surely not just ‘ brotherly love’ that impelled the organizations to flout regulatory safeguards. But evidently there is hope that the watchdogs are awake at least in these cases. Hopefully there are not many others which go undetected,
un-enquired and unpunished, where punishment was deserved.