Thursday, December 1, 2016

At least 2071 industrialists owe Rs 3.89 lakh crore to banks: Santosh Kumar Gangwar


As of June 30, 2016, NPA accounts above Rs 50 crore were 2,071 with outstanding amount of 3,88,919 crore, Minister of State for Finance said in a written reply to the Rajya Sabha.

There are as many as 2,071 industrialists whose loan accounts with an exposure of Rs 3.89 lakh crore have turned into NPAs, Parliament was informed Tuesday. All these industrialists had taken loan of Rs 50 crore or more. As of June 30, 2016, NPA accounts above Rs 50 crore were 2,071 with outstanding amount of 3,88,919 crore, Minister of State for Finance Santosh Kumar Gangwar said in a written reply to the Rajya Sabha.

“In terms of instructions of RBI, every bank has to have its own recovery policy, including the manner and procedure of write-offs,” he said. Loans are written off after appropriate provisions have been made to take advantage of tax benefits and capital optimisation, he said.

In respect of technical write-offs, RBI has permitted write-offs at the head office level while recovery efforts are still continued at the branch level, he added. In reply to another question, Gangwar said the government has not ordered any enquiry against any bank for allegedly depositing Re 1 in large number of Jan Dhan accounts purportedly to minimise zero balance account.

As many has 25.45 crore Pradhan Mantri Jan Dhan Yojna (PMJDY) accounts have been opened till November 2. With a view to increasing banking penetration and promoting financial inclusion and with the main objective of covering all households with at least one bank account per household across the country, PMJDY was formally launched on August 28, 2014.

To another question, Gangwar said NITI Aayog has not moved any proposal to create a bad bank to hold the stresses and non-productive assets and loan recovery of banks.


-Indian Express

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Those who have power to change things don't bother to;and those who bother don't have the power to do so .................but I think It is a very thin line that divides the two and I am walking on that.Well is pure human nature to think that "I am the best and my ideas unquestionable"...it is human EGO and sometimes it is very important for survival of the fittest and too much of it may attract trouble.Well here you decide where do I stand.I say what I feel.

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