Swamy fires fresh salvo against Rajan, Jaitley does not approve

New Delhi, May 26 

Firing a fresh salvo at RBI Governor Raghuram Rajan, BJP MP Subramanian Swamy today levelled six allegations against him, including sending confidential and sensitive financial information around the world, and asked the Prime Minister to sack him immediately.

However, Finance Minister Arun Jaitley today said he does not approve of "personal comments" against anyone, including the RBI Governor.

Following up on his barbs against Rajan, Swamy has again written to Prime Minister Narendra Modi that the former IMF chief economist should have known the “inevitable consequence of rising and high interest rate and his policy was wilful and thus anti-national in intent”.

He alleged that Rajan raised interest rates to force recession on domestic industries, permitted Sharia compliance on financial organisations despite the RBI Act not permitting so, continued to hold on to his US Green Card and sent confidential and sensitive financial information around the world.

The BJP leader also accused Rajan of publicly disparaging the Modi government and alleged that he is a member of “a US- dominated group” that was set up to defend America’s dominant position in the global economy.

Swamy, who had earlier called Rajan “not appropriate for the country” and then written to Modi seeking his sacking, in a letter to Modi today said the six allegations levelled by him against the RBI Governor were “prima facie true” and require termination of Rajan’s services “immediately” in the “national interest”. No immediate comments were available from RBI Governor.

Rajan, Swamy claimed, has been sending confidential and sensitive financial information using unsecured Chicago University email id and publicly disparaging the BJP government.

In his second letter to Modi within a fortnight, Swamy alleged that despite holding a sensitive and very high government post, Rajan has been making mandatory trips to the US to renew his Green Card. — PTI

China slowdown threat to world economy: Rajan

Mumbai: RBI Governor Raghuram Rajan has warned that a “sharp” slowdown in China’s growth posed a threat to the global economy, highlighting possible impact from the shadow banking system of its neighbour. “Bad loans in the banking system were likely to grow over current levels, and, in addition, there might be serious weaknesses in the shadow banking system, which could feed back to banks,” the RBI summarised Rajan as saying on China.“Both could be significant downside risks as they could have second round effects for SAARC economies,” he said.