Two moves by the government will significantly impact India’s banking segment— a decision to amend the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002, during the Winter Session of Parliament to allow banks to take charge of companies that wilfully default on loan repayment and second, a plan to put in place a holding company structure for public sector banks. The SARFAESI Act empowers banks and financial institutions to recover non-performing assets without the intervention of courts. “Whenever the borrower is deliberately not repaying, a change of management can be done by banks. This is a provision we are going to add to the SARFAESI Act,” G S Sandhu, secretary in the Department of