The Hindu Business Line : Ombudsman advisory to foreign banks

`The advisory is expected to serve as a reminder, to tell them that there is a spate of complaints about ordinary things and to ensure that such issues do not arise in future.'

Kolkata , Nov. 3

THE office of the banking ombudsman has shot off an advisory to a clutch of foreign banks, listing a few basic dos and don'ts, based on the many grievances lodged by their clients.

Complaints about foreign banks constitute the single largest block of issues raised by customers under the revised Banking Ombudsman Scheme, 2002.

The move, a first for the ombudsman, is said to have created a mild flutter among the recipients of the advisory, some of whom have already sent their reactions to it. Others are yet to write back.

Mr P. K. Sarkar, a banking ombudsman in charge of select States, said that the reactions, so far, had been encouraging.

"The advisory is expected to serve as a reminder. It is not a move to scare any banking entity, foreign or otherwise. The idea is to tell them that there is a spate of complaints about ordinary things and ensure that such issues do not arise in future," he said.

One of the respondents — a well-known bank that has over the years created a wide network in India — has actually provided a long list of measures that it has undertaken on several fronts, including personal loan, auto/housing loan and credit cards.