In a move to tackle modern financial scams and provide quicker justice for deceived investors, the Maharashtra Legislative Assembly approved a crucial Bill amending the Maharashtra Protection of Interest of Depositors (in Financial Establishments) Act, 1999. The Bill, presented by Minister of State for Home Yogesh Kadam, aims to address digital asset fraud and close judicial loopholes. The amendment will now encompass all virtual digital assets under the Act, enabling authorities to prosecute crypto-based fraudulent schemes.
Acknowledging the rise in unauthorized deposit schemes involving cryptocurrencies and digital coins, the government highlighted the need to regulate these activities. The Bill seeks to expedite relief for depositors by curbing stalling tactics often used during legal proceedings. Additionally, the amendment introduces measures to prevent financial establishments from delaying the return of depositors’ funds by imposing strict conditions on filing appeals against court orders.
Minister Kadam emphasized that the Bill aims to enhance consumer protection in the state’s financial sector, especially concerning the recovery of a substantial amount of money involved in financial fraud cases. The amendments to the Act, announced earlier by Chief Minister Devendra Fadnavis, include a statutory deadline of 180 days for property attachment decisions by the Designated Court. These changes are intended to ensure a more efficient and punitive approach to recovering investor funds.
