- The Lok Sabha today passed the Chit Funds (Amendment) Bill, 2019 by voice vote. The bill seeks to amend the Chit Funds Act, 1982, which regulates chit funds and prohibits a fund from being created without the prior sanction of a State Government.
- The amendments have been made to facilitate the orderly growth of the chit fund sector to remove bottlenecks and enable greater financial access to people.
- Under the legislation, the prescribed ceiling of aggregate chit fund amount for individuals has been raised from Rs 1,00,000 to 3,00,000/- and in the case of firms, the limit has been raised from Rs 6,00,000 to 8,00,000/-.
- Replying to a debate on the bill in the House, Minister of State for Finance Anurag Thakur said, the bill has been brought with an intention of protecting the interests of investors belonging to the poor and marginalized section of the society.
Published On : 22 Nov 2019