Speaking at a meeting organised by Indian Merchants Chamber (IMC) in Mumbai, Verma averred that the report went into all issues affecting the earning capacity and profitibility of not just the three weak banks, but the entire financial system. ``The restructuring of the three banks should be at the organisational, operational, financial and systemic levels," he said.

"The issue now is that if the remedial steps as recommended in the report are not taken then these units will have to close down," he said. He further said that capital adequacy and other prudential norms are being strengthened across the world in accordance to the report of the Baslecommittee.