{go to (ii) or (a)}
{go to (ii) or (a)}
(a)40% of the first instalment goes as commissions to agents and service charges to the company. According to the Supreme Court, this is unauthorised.
{go to (iv)}
{go to (iii)}
(iii)But the money stays with the company.
{go to (iv)}
(iv)This money is squandered away by the company flouting almost every RBI rule for RNBCs.
{go to (v) or (b)}
(b) Stockmarkets, inter corporate deposits and the like
* Interest-free loans to unworthy group companies
* State government and state PSUs
(v)0ver the years, Peerless had booked unauthorised profits of Rs 711 crore. In reality, the company's total losses may be as high as Rs 900 crore.