Friday 18th of August 2017

Follow Us

Breaking News

Bankers meet today in Mumbai to decide on large defaulters

Mumbai,Jun 19:-- The leading bankers in meeting planed in Mumbai today likely to finalise their next course of action on six of the 12 bad loan accounts for immediate referral to National Company Law Tribunal, NCLT, after the RBI named the largest defaulters to face bankruptcy proceedings.

 

Quoting a banker PTI said, the first set of six troubled accounts, worth more than Rupees 1.6 Lakh Crore, are Bhushan Steel responsible for 44,478 crore rupees Non-performing asset, NPA, of banks, Bhusan Power and Steel for 37,248 crore rupees, Essar Steel has a loan of 37,284 crore rupees which has not been returned yet, Alok Industries' 22,075 crore rupees debt, Amtek Auto loan of 14,074 crore and Monnet Ispat's 12,115 crore rupees debt have been declared as bad loan.

 

Last week, the RBI's internal advisory committee had sent the list of 12 accounts to bankers for immediate reference under the Insolvency and Bankruptcy Code.

 

The agency reports that Lanco Infra having 44,365 crore rupees loan, Electrosteel Steels responsible for 10,274 crore rupees bad loan, Era Infra with 10,065 crore, Jypaee Infratech, 9,635 crore rupees, ABG Shipyard 6,953 crore rupees and Jyoti Structures with a defaulted loan of 5,165 crore are the other accounts named for bankruptcy action.

 

 

 

 The news agency said, out of these 12 accounts six are led by SBI. Other accounts are linked with PNB, ICICI Bank, Union Bank, IDBI Bank and Corporation Bank. Total NPAs of the banking system stand at over eight trillion rupees of which six trillion rupees are with public sector banks.

 

Since these are large accounts and involve multiple banks, the lenders will try to take a common view on all administrative requirements before referring these accounts to

the NCLT. Once a case is referred to the NCLT, there is a time line of 180 days to decide on a resolution plan. An additional 90 days can also be given. If a plan is not decided, then the company will go into liquidation.

 

According to RBI, 12 accounts owe Rs 2.5 trillion to the system, which constitute around 25 per cent of gross bad loans. Last month, the government had cleared an ordinance to amend the Banking Regulation Act, giving the RBI more powers to direct banks to resolve bad loans.

Related Business News

Vishal Sikka resigns as Infosys CEO

Bengaluru, Aug 18:-- Vishak Sikka has put down his resignation papers as the CEO of Infosys.   Sikka took to Twitter to announce his decision.   In his personal blog, dated Aug 17, he wrote, "Earlier today I resigned my position as MD & CEO of Infosys."   Dedicating his ....

Godrej Security Solutions urges women to take charge of their security

Mumbai, Aug 18:-- Godrej Security Solutions kick started a multi-city consumer awareness programme and campaign #IAmSecure.   The objective of this campaign, the first leg of which was held today in Mumbai at Godrej One, is to create awareness among women to be more proactive and take charge of....

42% consumers willing to pay premium for prompt customer services, says survey

Mumbai, Aug 17:-- About 42% consumers are willing to pay a premium for prompt customer service, KANTAR IMRB survey commissioned by American Express revealed.   While 31% would be willing to pay for service that listens to them/acts on their feedback, 27% would be willing to pay premium for serv....

TVS Motor Company registers revenue growth of 19.3% for quarter ending in June 2017

Mumbai, Aug 18:-- Two and three-wheeler manufacturer TVS Motor Company has reported a revenue growth of 19.3% for the quarter ended in June 2017.   Total revenue grew to Rs. 3799.81 crores in the quarter ended June 2017 from Rs. 3184.35 crores in the quarter ended June 2016.   The Company&....

Indian benchmark indices close marginally higher on Thursday

Mumbai, Aug 18:-- The Indian market ended marginally higher on Thursday. with BSE Sensex up 24.57 points at 31795.46 and NSE Nifty up by 5.60 points at 9902.90.   Although the indices were doing well during the day, selling pressure towards the ends of the day nearly erased the gains, according....

Links
Contact
Editor :
Jagadananda Pradhan
Email :
fastmailmedia@gmail.com
fastmail@yahoo.com
Mob :(+91) 9437155542
Ph : 06764 223911
Contact Us
© 2015 Fast Mail Media Pvt Ltd. All Rights Reserved.
Developed by : FM Media Pvt Ltd.