Karnataka Opens Front Against SBI, PNB; Halts Transactions | Personal Finance News
Opposition-ruled states like West Bengal and Karnataka have time and again attacked the Finance Ministry and the Central government accusing the Union of not paying their GST dues. However, the finance ministry has refuted the allegation every time. The transaction ban on central banks comes amid this ongoing tussle.
The order also specifies that no further deposits should be made into SBI or PNB. Additionally, the directive extends to public enterprises, corporations, local bodies, universities, and other institutions, instructing them to follow the same guidelines.
The directive follows allegations of misuse of government funds deposited in these banks. Despite prior warnings and communications, the issue remained unresolved, leading the government to take this decisive action.