This refers to ‘Lessons from Haryana’ (March 5). The recent banking scam in handling government accounts exposed the weakness in monitoring and controlling the system of funds transfer. While there are several loopholes on the State government side too, much blame was unfortunately on the bank side.

Though RBI said there was no systemic fault, it has to take very serious actions on the bank as well as on the erring officials. The incident also highlights the need for a thorough screening and background check of persons during the hiring process. Such incidents put the banks in poor light and erode the confidence and trust among the public.

RBI has to make it mandatory to have six eye checks for such transactions involving bulk transfer of funds. It also has to ensure that necessary alert messages reach the concerned depositor or the official account holder on all financial and non-financial activities.

RV Baskaran

Pune

Critical strategy

It is with reference to the news article ‘Strategy to secure critical minerals’ (March 5).

As over 90 per cent of critical minerals like lithium and cobalt are currently imported, India must formulate a new strategy to mitigate these vulnerabilities.

Recognising the urgency of securing critical minerals, it can engage with resource-rich nations like Australia and Chile.

India has to reassess its minerals security strategy and enhance diplomatic outreach and bolster domestic capabilities. It must prioritize geological mapping, enable private participation and uphold the environmental safeguards to tap its untapped critical mineral resources and reduce import dependency.

P Victor Selvaraj

Palayamkottai (TN)

Speed caution

This refers to ‘Speed is not always a virtue in finance’ (March 5). The Deputy Governor’s observations make much sense for today’s bankers. With “speed” increasingly becoming the ‘taraka mantra’ in banking operations, there is always the risk of some dilution in credit appraisal. Such compromises can quickly impair the quality of the credit portfolio and lead to huge provisions.

While leveraging technology for efficiency and outreach, banks would do well to keep the core principles of corporate governance uppermost in their minds, particularly in their lending practices. In banking, speed should never supersede sound judgement.

R Mohan

Kumbakonam

Published on March 5, 2026