Parliament proceedings | Loans worth ₹10,09,511 crore written off in 5 years: FM Nirmala Sitharaman
The Hindu
Union Finance Minister Nirmala Sitharaman said recovery in NPA (non performing asset) accounts, including written-off loans, was an on-going process
Scheduled commercial banks have written off loans amounting to over ₹10.09 lakh crore in the last five financial years and the process of recovery of dues from the borrowers continues, Union Finance Minister Nirmala Sitharaman informed the Lok Sabha on December 19.
Ms. Sitharaman said recovery in NPA (non performing asset) accounts, including written-off loans, was an on-going process.
According to Reserve Bank of India (RBI) data, public sector banks have recovered ₹4,80,111 crore, including ₹1,03,045 crore from written-off loans, during the last five financial years, she said.
“As per inputs received from the RBI, scheduled commercial banks have written off an amount of ₹10,09,511 crore during the last five financial years,” Ms. Sitharaman said during Question Hour.
The borrowers of written-off loans continue to be liable for repayment and the process of recovery of dues from the borrower in written-off loan accounts continues, she added.
Banks continue to pursue recovery actions initiated in written-off accounts through various recovery mechanisms available, Ms. Sitharaman added.
The actions include filing of a suit in civil courts or in Debts Recovery Tribunals, action under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, filing of cases in the National Company Law Tribunal under the Insolvency and Bankruptcy Code, 2016, through negotiated settlement and compromise and sale of NPAs.
The Madras High Court on Tuesday, June 11, 2024, permitted Anna University to deposit, in three monthly instalments, an amount of ₹73.23 lakh before the Central Government Industrial Tribunal (CGIT) as a condition to hear a statutory appeal preferred by the varsity against the Coimbatore Regional Provident Fund (RPF) Commissioner’s order to pay dues to the tune of ₹2.44 crore to contract employees.