1. Harshad Mehta Scam (1992 Scam) Also Popularly known as 1992 Scam. Harshad Mehta son of Shantilal Mehta, a stockbroker who later on started his firm GrowMore Reserch and Asset Managemet Comapny in 1984 with his younger brother Ashwin Mehta. During the Liberalization and entry of foreign bank players the banks were in pressure to maintain good profits. So They had to compulsorily maintain a fixed percentage in government fixed-income securities with the RBI, known as the Statutory Liquidity Ratio (SLR). Also, they were not allowed to invest in the stock markets. So Their surplus capital was sitting idealy. So than these banks decided to loan their excess capital to banks who could not maintain the desired SLR in exchange for interest. The banks would lend money to each other via Ready Forward Deals (RFDs). A RFD is a secured short-term loan from one bank to another against a collateral, i.e. the government bonds. Instead of actually transferring the bonds, and going t...