12 October 2020

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NPA Scam Indian Overseas Bank to Write Off loans of Rs.41,392 Crore

NPA Scam Indian Overseas Bank to Write Off loans of Rs.41,392 Crore 

Monday, October 12, 2020

As per media reports Data shared by Pune-based RTI activist Vivek Velankar shows that Indian Overseas Bank has written off a massive Rs41,392 crore as technical write-offs in the past 8-year period from FY12-13 to FY19-20. 

As against these write-offs, the recovery was just 17% or Rs.7,253 crore.
IOB has refused to furnish information under the RTI Act to Mr. Velankar. It simply asked Mr. Velankar, who is also president of the Sajag Nagrik Manch, to check IOB's annual reports for finding out the write-offs and recoveries of bad loans.

IOB told Mr. Velankar that under RTI, "Information sought for is not readily available and culling out of such information will disproportionately divert the resources of bank and will affect normal working of the bank. Under the RTI Act, central public information officer (CPIO) can provide only that information, which is available and existing with public authority."

PNB wrote off a massive Rs44,565.59 crore as technical write-offs in a four-year period from FY16-17 to FY19-20.

IDBI Bank, wrote off total bad loans worth Rs.45,693 crore but could recover just 8% of it 

Union Bank of India wrote off bad debt worth Rs.26,072.81 crore between FY11-12 and FY19-20 (this information pertains only to loans of over Rs100 crore)

Bank of Maharashtra has written off bad loans of over Rs7,402 crore in the past, while recovering just 4% in over 8 years.

BJP, PM Narendra Modi government needs to do something so that Banks will give such information to Right to Information activists and need to scrap the provision of NPA.

Need to bring a law If you have taken loan, loan will be recovered whatever may happen

When someone does not support RTI that means he is supporting corruption.

Technically, when debts are written off, they are removed as assets from the balance sheet because the bank does not expect to recover payment.

Always remember that NPA is a legal scam to fool the Indian citizens. 

NPA means bank will never recover full amount just to fool Indian citizens bank will recover little bit loan amount. 

Reality views by sm –

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