I am a retired senior Bank official worked last as GroupHead Ethics and Compliance of French MNC Bank in India. I have wide treasury experience with PSU, old and new Pvt Sector banks in very senior positions. I have also worked as CEO of FIMMDA
Many banks interpret the term ‘total income’ concerning declaration in 15G/H, as any non-professional would and not as expected of them under the IT Act and due to lack of proper understanding, many times reject an otherwise in order Form 15G or 15H.
In the recent case of PMC bank, only accountability is discussed and would be discussed for many months to come, however, there're some other more issues too which need to be looked upon.
With more and more banks going to be set up after ‘on TAP’ licensing to small Finance, Payment banks etc there should be a proper mechanism to monitor these type of stringent actions.