In his Parliament Statement today on his scheme for the social control of banks,Mr. Morarji Desai has not only outlined the various structural and other reforms proposed but has provided a powerful justification for rejecting nationalisation,advocated by many,including some members of the cabinet.
Some of the ministers present,including,Dr. V.K.R.V. Rao,Mr. Jagjivan Ram and Mr. S. Singh,are reported to have renewed their plea for nationalisation.Their case was put forcefully by Dr. Rao,who apparently argued that the shareholders,who hold power today,would refuse to be dislodged and would find ways and means of defeating the purpose of the scheme.
FAIR APPOINTMENT
Mr. Desai explained that the main problem before him was the need to ensure that there was a fair appointment of bank credit as between the various priority sectors of economy,including small-scale industry, agriculture and exports. Simultaneously,it would not be in the national interest to starve large-scale industry as it represented a sizable investment and its neglect would mean a national loss.