First, because many fund managers are reluctant to provide banks with complete information about their portfolios or with forward-looking measures of the risks that the funds are assuming, the banks often cannot fully evaluate a fund's risk profile.
Based on the recommendations of the Vaidyanathan Committee and after reaching consensus with Chief Ministers, Finance Ministers and Cooperation Ministers of States, Government of India decided to provide massive financial assistance (since revised to Rs.19,330 crores (Rs. 193 Billion) from the originally estimated Rs.13,596 crores Rs.