Reserve Bank Of India [RBI] — Sovereign gold bond[protected]

Address:

600024

I have purchased sovereign gold bond[protected] for rs.2, 08, 000 during february 2016 through vijaya bank rangarajapuram branch, chennai-600 024

I approached vijaya bank on 4th july and asked rs.1 lac loan against sgb. The senior manager, vijaya bank rangarajapuram branch, chennai-600 024 informed me that sgb is not eligible as primary collateral security.

Then i told and shown rbi advertisement in which it wrotes —

"sovereign gold bonds are eligible as collateral for loan just like physical gold." - in physical gold all banks are giving loan - eventhough the sgb is issued by rbi onbehalf of govt. Of india and sold through nationalised banks, post office etc. And depository details maintained by rbi - vijaya bank manager refused to give loan against the sovereign gold bond even for 50% of the value.

Then i made a complaint to ombudsman, rbi, chennai through e'mail and in person

Copy of the complaint letter given below —

From: sugantharajan kss
To: "[protected]@rbi.Org.In"
Sent: monday, 18 july 2016 11:50 am
Subject: complaint against vijaya bank

4th july 2016

From
K. S. S. Sugantharajan
Plot 68, 21st cross street,
Padmavathy nagar extension
Madambakkam, chennai-600 126

To
Ombudsman
Reserve bank of india
Chennai

Dear madam,
Sub: loan against sovereign gold bond - reg.
—

Now i am in need of rs.1, 00, 000/- to repair my building. I request the senior manager rangarajapuram branch, 600024 to sanction a loan of rs.1 lac against my sovereign gold bond bearing no. Sgb[protected] - [protected], dated 8th feb. 2016. I am having sb a/c no.[protected] with vijaya bank, rangarajapuram branch.

The loan amount is below 50% of my gold bond deposit. Kindly advice the sr. Branch manager, vijaya bank to sanction one lac loan against my sgbond[protected]

Thanking you,

Yours faithfully
Kss sugantharajan

=

After sending the e'mail i visited ombudsman office, rbi, chennai. They informed me to see the vijaya bank senior manager again.

Again i met the vijaya bank manager on 8th july. The manager asked me to visit the branch again on 11th or 12th july. I thought the manager will give sgb loan against my sbg certificate, but she never gave when i visited again.

Then i made a complaint to vijaya bank head office as detailed below:

From vijaya bank rangarajapuram branch i purchased sovereign gold bond for rs.2, 08, 000/- on 8th feb 2016. Sgb no.[protected] - [protected]. When i asked one lakh loan against sgb the manager, rangarajapuram refused to give loan. When other banks are giving loan against sgb, why vijaya bank is refusing? In your advt. Folder written the bond is eligible as collateral for loan just like physical gold - the bond is issued by govt. Of india and rbi only maintaining depositories records. Kindly give suitable instructions to the manager rangarajapuram branch to sanction loan against sgb.

=
Vijaya bank head office registered my complaint e'mail —

Your complaint is registered. The complaint reference no is pgrs[protected]. Please note down this complaint number for future reference/ correspondences

Complaint regd on 28thjuly 2016 9.45 am

=

Sir,
Rbi only issued sgb certificate onbehalf of govt. Of india. All other banks are giving loan against sgb certificate, but vijaya bank is not giving - all banks are operating as per rbi guidelines and regulations. I request you to give suitable instructions to vijaya bank to give sgb certificate as primary collateral security to give loan.
Kss sugantharajan
E'mail: [protected]@yahoo.Co.In
F-2 breeze paradise, no.45a, sri sathiya sai nagar 3rd
Main road, rajakilpakkam, chennai-600 073
Cell: [protected] phone:[protected]