Today, the Fourth Thursday of November, will be celebrated in the world’s largest economy, the U.S.A., as Thanksgiving Day. One of the key traditions is Carving of the Turkey and dinner with family. Back home in India, among the fastest growing large economies, KARVY-ng of a different kind has been reported by SEBI.
Unfortunately, one of the leading Stock Brokerage and Security firms is suspected to have raised money by pledging Customers’ stocks placed in their custody. This, by misusing the Power of Attorney the clients would have shared with the firm for other purposes.
Customer, the New Turkey
This development comes close on the heels a recent discovery of gaps in Security of Customer Data…… Of customers being taken for a ride or rather, their data going places, without their knowledge or approval. Technology Service Providers and Marketers getting enriched while rendering the Customer Privacy values poorer. KARVY seems to have taken Customer Care to more s(ub)lime levels. Customer Car(v)e may be the new function. Why Celebrate or Thank customers. More profitable, may be to leverage Customers and tank them.
SEBI & SETI
Those not familiar with SEBI and those open minded enough to believe that intelligent life could exist beyond earth may think of SETI . Speaking of intelligence, one is surprised how the banks allowed the said Customer stocks to be pledged with them. Maybe the MoF, GoI could engage some SETI – like search. The Search for Economic Transgressors in India may well be a worthwhile pursuit, even if the search for intelligence or Corporate Governance in our financial institutions may disappoint.
Strengthen Whistle Blower Policies (as needed) and Communicate the same
Human minds and endeavours being what they are, no amount of Law may completely eliminate wrong doing. One way to minimise this is to make it mandatory for each establishment to prominently display whistle blower policy/ process/ rights to all employees and stakeholders.
Do you feel it is easy to be a whistle blower? What more should the government or society do to ensure whistle blowers are not left high and dry, just because they answer to the Call of their Conscience?