Context: The Lokpal of India, the country’s apex anti-corruption ombudsman, is facing renewed scrutiny following a steep decline in complaints—from 2,469 in FY 2022–23 to just 233 in 2025—and public criticism over a tender to purchase seven BMW cars. The developments have raised concerns about the institution’s relevance, credibility, and accountability in India’s anti-corruption ecosystem. About Lokpal of India An independent statutory body established under the Lokpal and Lokayuktas Act, 2013, the Lokpal investigates corruption allegations against public functionaries including the Prime Minister, Ministers, Members of Parliament, and government officials. Historical Context: Composition and Structure Powers and Functions
PMS Transfer Between Managers Gets SEBI Nod
Source: BS Context: The Securities and Exchange Board of India (SEBI) has allowed the transfer of Portfolio Management Services (PMS) businesses from one portfolio manager to another, subject to regulatory approval. The decision aims to bring greater operational flexibility, continuity of client services, and consolidation efficiency in India’s portfolio management industry. Key Highlights of the SEBI Circular: 1. Transfer Permitted with SEBI Approval 2. Intra-Group Transfers 3. Inter-Group Transfers 4. Post-Transfer Obligations Objective and Rationale About Portfolio Management Services (PMS) Portfolio Management Services (PMS) are investment management services offered by SEBI-registered portfolio managers who manage clients’ investments in equity, debt, or hybrid portfolios for a fee, customized to investor objectives and risk appetite. Key Features:
RBI Proposes Higher Loan-to-Value Limits for Loans Against Shares and Debt Mutual Funds
Source: ET Context: The Reserve Bank of India (RBI) released a draft circular on October 25, 2025, proposing to raise the LTV ceilings and loan limits for individuals availing loans against shares and debt mutual funds. The move aims to enhance credit flow, align prudential norms with market dynamics, and streamline capital market exposures. Key Highlights of the Draft Proposal: 1. Increased Loan-to-Value (LTV) Ratios: 2. Loan Amount Limits: 3. Risk Management Conditions: Objective and Rationale
SBI and BoB to Lead Digital Payments Intelligence Body to Curb Fraud
Source: ET Context: State Bank of India (SBI) and Bank of Baroda (BoB) will spearhead the establishment of a digital payments intelligence platform aimed at detecting and preventing fraudulent transactions in real time across banks. Entity Formation: Objectives:
RBI Exempts Swamih Fund from Tightened AIF Rules
Source: TOI Context: The Reserve Bank of India (RBI) has granted an exemption to the Swamih Investment Fund—a government-backed initiative supporting stalled real estate projects—from its recently tightened regulations on Alternate Investment Funds (AIFs). About Swamih Fund: RBI’s 2024 Tightened Rules on AIFs: Exemption Details:
RBI Proposes Lower Risk Weights for NBFC Loans to High-Quality Infrastructure Projects
Source: BL Context: The Reserve Bank of India (RBI) has proposed reducing risk weights on loans given by Non-Banking Financial Companies (NBFCs) to high-quality operational infrastructure projects, according to draft guidelines released on October 24, 2025. The move seeks to reduce financing costs, promote infrastructure lending, and align capital norms with actual project risk. Key Highlights:
Simplified GST Registration under GST 2.0
Context: Finance Minister Nirmala Sitharaman has announced that a simplified Goods and Services Tax (GST) registration system under GST 2.0 will be implemented from November 1, 2025. The reform aims to enhance ease of doing business, reduce human interface, and make the tax administration more efficient and transparent. Key Highlights:
SEBI Restricts Mutual Funds from Participating in Pre-IPO Placements
Source: ET Context: The Securities and Exchange Board of India (SEBI) has issued a clarification restricting mutual funds (MFs) from participating in pre-IPO placements of equity shares. The decision aims to safeguard investors and ensure that MF portfolios remain compliant with listing requirements. Key Highlights:
RBI Proposes Cap on Banks’ Capital Market and Acquisition Financing Exposure
Source: ET Context: In a move to strengthen financial stability and curb excessive risk-taking, the Reserve Bank of India (RBI) has proposed a new prudential framework limiting banks’ exposure to capital markets and acquisition financing. The draft circular aims to ensure that banks maintain adequate capital buffers while supporting credit growth in India’s expanding economy. Key Highlights of the Draft Norms: Exposure Limits Rules for Acquisition Finance Revised Norms for NBFC Exposure RBI has also proposed lower risk weights for NBFCs’ infrastructure loans, particularly for well-established projects. This will likely reduce capital requirements for banks, enhancing credit availability to the infrastructure sector. Significance:
RBI Proposes New Norms to Allow Banks to Fund Corporate Acquisitions
Source: BS Context: The Reserve Bank of India (RBI) has issued a draft circular proposing to allow banks to finance acquisitions by Indian corporates both domestic and overseas marking a major policy shift in corporate financing regulations. The move aims to strengthen domestic participation in mergers and acquisitions (M&A) while ensuring financial stability through prudential exposure limits. Key Highlights:
