A bench headed by Justice Sanjay K Kaul The deadline was extended by four weeks RBI To file its response. The After the central, direction was created Bank The government had established a five-member committee to examine banking reforms. It said that it had accepted its recommendations.
Among The committee’s 2017 recommendations on recovering non-performing assets included the recommendation that banks publish on their websites the names of defaulters who are already public or are the subject of recovery proceedings under the provisions. Sarfaesi Act. It Promoters must be held personally responsible for any siphoning.
Instructions Banks are required to inspect and decide if an account is a case in wilful default, or not, within 60 days. NPA (where the exposure is more than ₹50 crore), the RBI said in an affidavit.
The According to the central bank, it will expand the definition wilful defaulters to include borrowers who have made a commitment to infuse. Equity But it was eventually not possible. It Banks using data from the internet could also be possible, according to the bank. Central Repository This is Information On Large Credits To find out more about the group entities that borrowers are made up of.
The RBI claimed that their efforts have resulted in a significant decline in NPAs.
During The hearing Justice Kaul commented: “We have to balance the issue of public money and seeing that the ending procedure is not too cumbersome … We have seen many cases where nothing happens, those who had invested were left high and dry.”The Judge said that cases with large amounts should be given priority.
Solicitor general Tushar MehtaThe government’s spokesperson, Jeremy Sullivan, stated that bank-customer relationships are fiduciary and that separate regimes have been set up to address the issue through statutes such as the Insolvency And Bankruptcy Code The Sarfaesi Act.