Finally, to address the systemic risks arising from growth of financial conglomerates, the RBI has put in place an oversight framework which envisages periodic sharing of information among the concerned regulatory bodies. Seventh, the legal environment for conducting banking business has also been strengthened. Debt recovery tribunals were introduced early into the reforms process exclusively for adjudication of delinquent loans in respect of banks.
More recently, an Act to enforce securities and recover loans was enacted in 2003 to enhance protection of lenders rights. To combat the menace of crime-related money, the Prevention of Money Laundering Act was enacted in 2003 to provide the enabling legal framework.