Wilful Defaults: Inputs Sought
Over 5,000 wilful defaulters owe over 50,000 crores to Indian Banks. Attached is a sample list of some of the companies.
With this post, we would like to seek your inputs on what are the root causes of such defaults mostly taking place with public sector banks leading to huge NPAs.
Once we understand the Root Causes, we will have a separate discussion on solutions. A citizen driven whitepaper to the Finance Ministry is the need of the hour. more
IT IS NOT WILFULDEFAULT, IT IS WILFUL DISTRIBUTION OF PUBLIC MONEY BY NON ACCOUNTABLE BANKERS IN COLLABERATION WITH ARRANGERS AND POLITICIANS. LAKHS OF CRORERS ARE WRITTEN OFF NOT EVEN SIGLEPAISE IS RECOVERED FROM THE OFFICIALS. .DETAILS ARE NOT COVERED UNDER RTI ACT more
Dear Sir, I am P A cariappa, the root cause for all these problems, is " Politicians", and " Lobbyists". Regards. P A cariappa. more
Unless Wilful defaulters are publicly named & shamed this problem will continue. Bank officials who approve loans without due diillgence or corrupt bankers should be strictly dealt with . As of today bank officials retire often with promotion they have no fear. Loan defaulters are of 2 kind 1 who default wilfully 2nd who have default due to business slowdown but who will decide ?some mechanisms should be laid for such cases . We also have 3rd case loans given on political consideration /affiliation how do we settle such cases more
Lack of effective checks and balances systems in banks while lending big ticket loans; corrupted bankers; no fear of prosecution; ineffective and inefficient ACB/CBI set-ups; time-consuming litigation in courts without any certainty of recovery of the defaulted amount nor punishment to the defaulters; above all, connivance of the powerful politicians with the defaulters and bankers - all, not unknown to successive governments, but pretending to be unaware of the same till the loot and plunder of the banks is complete, is the bane of our country's banking system that has badly affected the development in the country. Ruthless recovery procedures, stringent punishment to the corrupt bankers and defaulters, speedy trials, etc., may shore up the ruined system to some extent. more
The root cause is corrupt Bank Officers and their Bosses, both administrative and political. more