An affidavit filed by the finance ministry comes across as a last ditch attempt to convince the court that borrowers will get a chance with concessions and loan rescheduling, and banks, no matter how big and bad, will fail to serve the interest of hapless depositors in the absence of interest income from loans -- that balance has to be preserved.
“The intention is to restructure loans for only those borrowers who really need restructuring, but in no way do we want to be in a situation that they are not paying interest,” said a senior executive at a state-run bank.
In a public notice, the bank said AC Muthiah and Farouk Irani, promoter director of First Leasing Company of India, defaulted on Rs 508.40 crore plus other expenses as on August 27.
Bankers said that the details provided so far in regulatory disclosures and public statements do not detail how the debt would be split between the two groups, though lenders say that the value of debt realization post the deal would be bigger than without it.
Central Board of Direct Taxes has also directed banks to refund charges since January 1, 2020, collected on transactions carried out using electronic modes including UPI by businesses having turnover of over Rs 50 crore.
Private banks such as ICICI Bank, Axis Bank, Kotak Mahindra Bank and HDFC Bank have recently started charging customers on UPI transactions beyond a prescribed limit for free transactions.
The Reserve Bank in its latest annual report revealed that bank frauds, both in terms of numbers and volume, have gone up substantially during 2019-20.
The private sector lender has initiated the process to categorise Goyal and his wife Anitia as `wilful defaulters’. A ‘wilful defaulter’ tag by banks may stain the reputation of persons and restrict their ability to borrow and hold board positions in companies.
The Centre on Thursday had placed before the GST Council two options for borrowing by states to meet the shortfall in Goods and Services Tax (GST) revenues, pegged at Rs 2.35 lakh crore in the current fiscal.
The total banking sector outstanding Jan Dhan deposits jumped to Rs 1.31 lakh crore at the end of August 19 from Rs 1.20 crore at the beginning of the fiscal. This reflects higher farm income following a good Rabi harvest as well as a fall in discretionary spending amid Coronavirus pandemic, senior bankers tracking the rural economy said.
The three-year term of current SBI Chairman Rajnish Kumar will come to an end on October 7. He, however, is expected to get another year's extension in light of the Covid 19 situation.
SBI has won these awards in three categories viz. Best Learning Program supporting a Change Transformation Business Strategy, Best Use of Blended Learning and Best Unique or Innovative Learning and Development Program, it said.