In a bid to carry forward far-reaching banking reforms, Finance Minister P Chidambaram on Thursday announced a slew of legislations that would be brought in during the winter session of Parliament, including amendments to the NPA Act and regulation of credit information companies.

He also threatened to bring in a legislation on lenders' liability if the banks did not adhere to the Reserve Bank of India's 'fair practices' code on keeping privacy of information about the borrowers.

"Certain amendments to the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act have been necessitated. The Bill has been finalised and we hope to effect the amendments speedily," Chidambaram said addressing the bankers' conference 'Bancon'.

The proposed amendments were aimed at dissuading borrowers from adopting 'dilatory' tactics and enabling creditors to effect speedy recovery, he said.

"Along with the strengthening of SARFAESI Act, we propose to bring Credit Information Companies Regulation Bill in the winter sesssion of Parliament," he said.

Asserting that information was vital to credit quality, Chidambaram said it would not only do away with the hassles for the borrowers but also help banks in speedy appraisals.

"A well-established credit information system will also minimise financial frauds, which can become problematic for certain kinds of loans, especially home loans," he said.

In order to improve credit climate, the minister said: "We propose to bring about a law to provide legal sanctions for collection, sharing and regulated dissemination of credit information."

Elaborating on lenders' liability, Chidambaram feared banks may 'intrude' upon citizens' privacy and said there was an equal obligation to ensure proper customer service.

He said many of the borrowers, especially self-help groups and those seeking PMRY, were not informed about the interest rate being charged.

In many countries, banks are mandated by law to respect the rights and interests of lenders, depositors and the other customers. There is a demand for similar law in India, the finance minister said.

The Supreme Court in a judgement in SARFAESI Act made a reference to lenders's liability. Thus far we have tried to achieve stakeholders' interest by a guideline. The Reserve Bank has circulated a fair practice code, Chidambaram said.

"I am not sure how far it is adhered to. And I think the bank managements should review the position. If Indian Banks have to become global players, they will have to respect the fair practice code.

"If they fail to show sufficient concerns to customers, there will soon be a clamour for enacting a law. It may be difficult to deny such a demand indefinitely," he said.

He also said domestic banks must consolidate to become globally competitive as in the case of manufacturing sector.

However, mergers should be based on synergies and not merely creating bank behemoths.

"To attain global aspirations and greater banking synergy, banks have to consolidate," he said, adding they have to look and behave globally as is the case with many Indian giants like Telco, Infosys, Wipro and Ranbaxy.