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Crypto Is similar to a Ponzi Scheme: RBI Deputy
T Rabi Sankar, Deputy Governor of the Reserve Bank of India (RBI), said on Monday that cryptocurrency is similar to or even worse than Ponzi schemes and that banning them is the most rational solution for India. He believes there are compelling reasons for cryptocurrencies to remain outside of the official financial system.
“Cryptocurrencies are not amenable to definition as a money, asset, or commodity; they have no underlying cash flows, no intrinsic value; they are equivalent to Ponzi Schemes, and possibly worse,” Sankar remarked at an Indian Banks Association event.
A Ponzi scheme is a type of deception in which cash from new investors is used to pay gains to previous investors. It earns very little, if any, money legally.
“Virtual currencies risk a nation’s monetary integrity and leave it vulnerable to strategic manipulation by private corporations that create them or governments that control them. All of these facts point to the conclusion that outlawing cryptocurrencies is the best option for India The Deputy Governor of the Reserve Bank of India (RBI) stated.
‘Be cautious while dealing with cryptocurrency.’
Sankar went on to say that crypto-technology is based on a philosophy of avoiding government regulations. They were created with the express purpose of avoiding the financial system’s regulation. These should be sufficient grounds for caution.”
“They jeopardise financial integrity, particularly the KYC regime and AML/CFT requirements, and may encourage anti-social behaviour.” More importantly, they have the ability (and will most likely do so if allowed) to destabilise the currency system, the monetary authority, and the financial system.
Sankar expressed concern about the banking sector and the government’s ability to oversee the economy in general.
He cited a Wall Street Journal storey to say that illegal cryptocurrency trades totalled $14 billion in 2021. According to industry estimates, there are roughly 15-20 million cryptocurrency investors in India, with total assets of around $400 billion.
According to the RBI, the average holding remains low at $1,566, implying that “asset loss, if it is a possibility, will likely affect only a tiny fraction of these investors.”
Last week, RBI Governor Shaktikanta Das issued a strong caution against investing in cryptocurrencies, claiming that they lacked the “worth of even a tulip,” referring to a speculative bubble that engulfed the Netherlands in the 17th century.
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Three Detained For Kidnapping The Son Of A Contractor Owing To Unpaid Debt
The 28-year-old son of a Govandi contractor, who was allegedly kidnapped by three men last week over unpaid invoices for a building painting contract, was saved by Nerul police in less than a day. They detained the suspected kidnappers as well. Senior Nerul police inspector Brahmanand Naikwadi stated that in response to a complaint made by the contractor Saeed Shaikh (47), he obtained a contract to paint structures in Ulwe and Juinagar and awarded Chand Shaikh a subcontract.
Chand received a portion of Saeed’s payment for the work. A disagreement started when Saeed refuted Chand’s allegation that he owed him Rs 1.5 lakh, claiming that just Rs 32,000 remained unpaid. According to the police, Saeed indicated his hesitation to make the cash despite Chand’s continuous demands. On September 11, as Chand was overseeing the building site in Juinagar, he and his two assistants, Israil Shaikh (27), and Kausar Ali Haq (26), kidnapped Chand’s son, Shoaib. According to Naikwadi, Chand then got in touch with Saeed and asked for Rs 1.5 lakh as ransom to free Shoaib. Saeed went straight to the cops.
“A police squad was then established to find the alleged abductors. Using CCTV footage, we were able to identify the autorickshaw that the accused was using to take Shoaib away. Shoaib was freed within 24 hours after the kidnappers were located in Kandivali’s Lalaji Pada region thanks to technical know-how, according to the senior inspector.
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Kharghar-Belapur Coastal Road Project: CIDCO Is Seeking Tenders
The City and Industrial Development Corporation (CIDCO) has initiated the design and construction of the Kharghar Coastal Road (KCR), a key project aimed at improving connectivity to the upcoming Navi Mumbai International Airport (NMIA). Spanning 9.679 kilometres, the road will link Jalmarg Sector 16 in Kharghar to Belapur, with 2.986 kilometres utilizing existing infrastructure. The project, expected to be completed within 30 months, received Coastal Regulation Zone (CRZ) clearance from the Ministry of Environment, Forest and Climate Change (MoEF&CC) in August.
The new road will feature stilt construction and ground-level reclamation, significantly enhancing connectivity in Navi Mumbai. It will connect Kharghar station to Belapur, running parallel to NMIA, with links to the PMAY Housing Scheme and Delhi Public School (DPS) in Nerul. According to reports, the first 90 days will focus on design and approvals, with the remaining 823 days dedicated to construction.
A CIDCO official noted that the KCR will improve access to NMIA, the Nerul Water Terminal, Kharghar, and the International Corporate Park, reducing traffic on the Sion-Panvel Highway. The route will pass through Belapur and cross Amra Marg, connecting to an elevated road near the Nerul Water Transport Terminal and Palm Beach Marg.
In addition, construction has started on the 5.8-kilometre Ulwe Coastal Road, which will connect NMIA to Atal Setu, providing a direct route for vehicles from Mumbai. These projects are set to significantly enhance airport access and improve travel efficiency in the region.
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Celebrate 31 years of Ganeshotsav with Shivtej Mitra Mandal!
Known as “Navi Mumbaicha Kaiwari,” Shivtej Mitra Mandal Sanpada was founded in 1994 and is commemorating 31 years of supporting cultural and social welfare initiatives during Ganeshotsav. It was the first Ganeshotsav Mandal in the Sanpada division and has always taken the initiative to plan meaningful social projects.
Over the years, the mandal has been renowned for its community service, including events like honoring senior citizens, tree planting drives, blood donation camps, health camps, and cultural programs for women. This year, their Ganesh idol stands an impressive 15 feet tall, symbolizing devotion and grandeur.
In addition to these cultural and social activities, Shivtej Mitra Mandal places a strong emphasis on environmental conservation. Devotees and chief guests are welcomed with saplings, highlighting the importance of protecting the environment. Social activist Nilesh Kachare has taken this initiative further by distributing “Tree plant and Beej Modak (Seed Modak),” promoting environmental awareness among visitors.
The Mandal has received numerous accolades, including third prize in the “Ganpati Majha Utsavatla Raja” competition in 2018, as well as several nominations in NMMC Mayor Shree Ganesh Darshan and Loksatta’s Ganesh Utsav Murti reader’s choice awards.
Founded by Anil Shilkar, and currently led by President Sagar Gadge, Vice President Mangesh Kadam, Secretary Vishal Kadam, Treasurer Nilesh Kachare, and joint-treasurer Pratik Bhosale, Shivtej Mitra Mandal continues to uphold its values of social responsibility, cultural celebration, and environmental conservation.
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