The Ministry of Finance has said that soon the name of the 12 big willful bank defaulters will be made public, against whom the Reserve Bank of India has initiated the action of Bank corrupt. The Reserve Bank had said on Tuesday that it has identified 12 NPA bank accounts, in which around 25 percent of the banking sector is NPAs. The concerned banks have been instructed to take action against these defaulters for the action of insolvency. These cases will be heard on a priority basis by the National Company Law Tribunal. The Ministry of Finance has also said that the Tribunal will be strengthened and efficient to complete the action as soon as possible under the Insolvency and Bank rises Code.
Chief Financial Advisor of the Ministry of Finance Sanjeev Sanyal said that 12 defaulters have been identified. Soon their names will be announced. The share of these defaults in the total NPAs is 25%. Each of these accounts has a debt outstanding of Rs 5000 crore or more.
On the other hand, bankers have welcomed the RBI’s move to initiate action on 12 defaulters of 25 per cent NPAs. United Bank’s Managing Director and Chief Executive Pawan Bajaj said that it will have a positive effect on banks. It is expected that the action of insolvency will not be delayed and the result will soon come out.
monitoring of Central Bank also under the Rapid Impact Action (PCA), the Central Bank of India has also taken the public sector central bank under surveillance. Due to the central bank’s trapped debt, which is much higher, it has been put under surveillance. Earlier, RBI has put in the monitoring of IDBI Bank, Indian Overseas Bank, UCO Bank and Dena Bank. After monitoring, credit and dividend distribution on the bank are strictly carried out. Central Bank informed in the Regulatory Filing that the Reserve Bank has kept it in view on 13th June.