The Rajya Sabha passed the Banking Regulation (Amendment) Bill 2020 through a voice vote on Tuesday.
Union Finance Minister Nirmala Sitharaman during a discussion in the Upper House said that the amendments sought to protect the interests of depositors in co-operative banks.
"This set of amendments to the Banking Regulations (Amendments) Bill is being brought to completely protect the interests of depositors. There are only a few amendments, but they are coming in with a singular objective of protecting the depositors," Sitharaman said.
The Union Finance Minister said that the government wants to bring in "proper management and make sure they are professionally run."
"If at all we need to restructure any such co-operative banks then we need to be restructured without a moratorium period. By amending Section 45 we are able to give a quick recovery, quick payback, and also make sure the interests of the depositors are safeguarded," she said.
The bill, which will allow RBI to undertake amalgamation or reconstruction of a bank without placing it under moratorium was earlier passed in the Lok Sabha.
The Rajya Sabha passed the bill amid several Opposition members, including those from Congress, Samajwadi Party and others walking out over the issue of suspension of eight parliamentarians and the farm-related bills.
The Compes (Amendment) Bill, 2020, the National Forensic Sciences University Bill, 2020 and the Essential Commodities (Amendment) Bill, 2020 were the other bills passed in the House.
( With inputs from ANI )
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