Your lies on IDBI will fail like Rafale's: Sitharaman hits back at Rahul Gandhi

Sitharaman warned Rahul Gandhi that his claims over the proposed IDBI Bank sale would be exposed, just as he had to apologise following the Rafale controversy. Her remarks came after Gandhi criticised the government over the bank's sale, which the Union Cabinet had approved, clearing the way for a 60.72% stake to be sold to Canada-based Fairfax Financial Holdings.Finance Minister Nirmala Sitharaman responds to Rahul Gandhi’s charge over proposed IDBI Bank sale.New Delhi,Oct 30, 2026 16:28 ISTFinance Minister Nirmala Sitharaman on Friday hit back at Rahul Gandhi over his criticism of the proposed IDBI Bank sale, saying he would have to apologise as he did over the Rafale controversy. Gandhi had accused the Modi government of selling a bank that he said was established during the Congress regime to support the country's industrial growth.“Your lies with respect to Rafale had failed and were exposed. You had to apologise. The same will happen here,” Sitharaman said in a post on X, responding to Gandhi’s criticism of the government’s decision to sell IDBI Bank.Her lengthy post, in which she listed what she described as instances of banking fraud and favouritism during the Congress regime, came a day after Gandhi said IDBI Bank had been set up under his party’s government to support the country’s industrial growth. He accused the Modi government of selling institutions instead of building them.His remarks came after the Union Cabinet approved the sale of a 60.72% stake in the bank to Canada-based Fairfax Financial Holdings.“During Congress's time, IDBI was established -- to build the nation's industry. During Modi's time, first the bidding was seen, then the price was set. During Congress's time, banks were being created. During Modi's time, they are being sold. I stand with the employees of IDBI Bank,” Gandhi said. SITHARAMAN RECOUNTS CONGRESS-ERA BANKING CONTROVERSIESTaking on the Congress's record, Sitharaman accused the party of treating banks and financial institutions as its own and pressuring employees to approve loans without following proper lending norms.She cited several instances, going back to 1957, when businessman Haridas Mundhra received money from LIC allegedly through the influence of Congress leaders. She also recalled the removal of SBI chairman R K Talwar in 1976, saying Indira Gandhi's government acted against him after he refused to relax lending conditions for a company linked to Sanjay Gandhi's circle. Sitharaman further alleged that Sanjay Gandhi had pressured the Central Bank of India over loans to Maruti. She also named B Janardhana Poojary, who served as Minister of State for Finance under Indira Gandhi and Rajiv Gandhi, accusing him of pressuring bank employees to issue loans in the 1980s.The Finance Minister also brought up former UPA minister Pawan Kumar Bansal, alleging that he had pressured Canara Bank to extend loans to businesses linked to his family.‘IDBI WAS HANDED OVER TO US IN POOR SHAPE’Turning to IDBI Bank, Sitharaman said the lender had been forced to extend loans to large business groups with close links to Congress leaders. She named Videocon, Winsome, ABG Shipyard and Kingfisher, saying loans to these companies eventually turned into bad debts and caused heavy losses for the bank.Sitharaman said the NDA government had worked to revive the lender through professional management, prudent lending practices and recapitalisation of more than Rs 25,000 crore.“IDBI Bank is now poised for its next phase of growth,” she said.She maintained that all due procedures had been followed in the bank's strategic restructuring and said the government had already clarified its position on the matter.SITHARAMAN REFERS TO 2024 WHITE PAPERThe Finance Minister also invoked the White Paper on the Indian Economy, released in February 2024, saying it detailed what she described as scams and economic mismanagement during Congress rule.She argued that the banking system under the Congress had favoured the powerful, while ordinary borrowers faced stricter rules. That, she said, had changed under the Modi government.“Congress-era banking had a phonebook for the powerful and a rulebook for the common citizens,” Sitharaman said.She added that the era of “connection and setting banking” was over, claiming that ordinary people now had easier access to loans and bank employees were no longer pressured to approve lending requests following calls from influential people.- Ends