Invest only at nationalised banks, minister tells MU

University of Mumbai (MU) and its affiliated institutes will be directed to move their funds from private banks to nationalised banks and maintain future deposits

University of Mumbai (MU) and its affiliated institutes will be directed to move their funds from private banks to nationalised banks and maintain future deposits only in such banks, Maharashtra minister for higher and technical education Uday Samant said on Saturday.

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Samant was replying in the legislature to the concerns raised by Shiv Sena legislator Manisha Kayande over MU’s deposits in YES Bank worth ₹142 crore. Kayande sought special permission from deputy chairman of the Council, Neelam Gorhe, to address the issue.

Referring to MU’s deposits in the crisis-hit bank, Samant said, “The money was deposited in YES Bank before its financial crisis came to light. However, the government does not take the development lightly. The money belongs to students and is a part of their fees and deposits. So it will be protected. We will take a decision about where to transfer the money after inspecting the entire issue. Directions have been given to invest money only in nationalised banks henceforth.”