Indian Kanoon - Search engine for Indian Law

KUMARI SUSHMITA DEV (SILCHAR): Thank you, Chairman, Sir. Mr. Jaitley, before we started this debate, very briefly explained on the floor of the House as to why this Bill has been necessitated, and what is the Objects and Reasons of the Bill. He relegated his speech to just one aspect of the Bill, but in a hurry, I have seen the statement, as reported by PTI, where the hon. Finance Minister has himself stated that the amendment seeks to protect funds collected from the customers by the payment system providers and to extend the Act to cover trade repositories and legal entity, and identify issuers.

Now, the question raised by Kumari Sushmita Dev, our hon. Member from Assam, is what will happen or whether this will override even earlier transactions or subsequent transactions which are taking place.  Supposing, I make a payment through a clearing house to any of my learned friends here, and the interim agency is the clearing house, whose face I do not see or none of us sees, but it is an intermediary.  Where did that intermediary bursts?  The payment instead of reaching you lands up with the third party.  Once insolvency takes place, what is the law that must regulate?  Let this payment go to the third party.  If that is the law in India, then the world at large or even Indian parties would think twice before transacting through these instruments.