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During the financial year 2018-19, the highest amount of Rs 2,36,265 crore was written, while in 2014-15, an NPA of Rs 58,786 crore was written, which was the lowest in the last 10 years.
During 2023-24, banks wrote poor loans of Rs 1,70,270 crore, less than Rs 2,16,324 crore made in the last financial year. (File photo)
Banks have written non-operated assets (NPAs) or poor loans of about Rs 16.35 lakh crore in the last 10 financial years, informed to Parliament on Monday.
The highest amount of Rs 2,36,265 crore was written during the financial year 2018-19, while in 2014-15, the NPA was written at a price of Rs 58,786 crore, which was the lowest in the last 10 years.
During 2023-24, banks wrote poor loans of Rs 1,70,270 crore, less than Rs 2,16,324 crore made in the last financial year.
Finance Minister Nirmala Sitarman, in a reply in the Lok Sabha, said that banks write non-performing assets (NPAs), including those who have been included, in relation to whom, according to the Reserve Bank (RBI) guidelines, according to the policy and policy approved by the boards of banks, a complete provision has been made on completion of four years.
As a result of such a right-off, the borrowers do not exempt the liabilities and therefore, it does not benefit the borrower, he said.
Banks continue their recovery action against the borrowers under various recovery mechanisms available for them, such as filing a suit in the civil court or in debt recovery tribunals, the enforcement of action and security interests under the securities and reconstruction of financial assets, enforcing cases of the Act, filing cases in the National Company Law Tribunal and insolvency and insolvency, they said.
According to RBI data, on 31 December, 2024, Scheduled Commercial Banks had 29 unique borrower companies, which have been classified as NPAs and each of them owes Rs 1,000 crore and more, said, he said, “had a total dues of Rs 61,027 crore by adding total arrears to these accounts.”
Regarding the recovery of overdue amount from the borrowers, banks issue emails/letters to the borrowers about the payment of overdose zodiac signs, and based on the default amount, banks can also contact the National Company Law Tribunal to initiate the corporate insolvency resolution process in case of corporate borrowers.
In addition, if a loan account is classified as an NPA, the banks initiate action under their board-eminent policies, filing a suit in civil courts or filing a suit in loan recovery tribunals, and, the securities of financial assets and the enforcement of the reconstruction and security interests.
Answering another question, Sitarman said that this decision has been decided by the government to set up the 8th Central Pay Commission (CPC).
The financial implication of the recommendations of the 8th Central Pay Commission will be known, once recommendations are made by the 8th Central Pay Commission and accepted by the government, he said.
(This story has not been edited by News18 employees and a syndicated news agency has been published from PTI)
