Report Wire - Congress slams centre over rise in NPAs

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Congress slams centre over rise in NPAs

5 min read
Congress slams centre over rise in NPAs

By PTI

NEW DELHI: The Congress on Tuesday alleged that NPAs have risen by 365 per cent below the Modi authorities and questioned why “unbridled powers” had been being given to PSU banks to “sell off assets at throwaway prices.”

Congress spokesperson Supriya Shrinate mentioned 38 wilful defaulters have fled the nation after swindling banks and requested the federal government about its plans to deliver them again.

She claimed that the BJP doesn’t contest elections on points or its report card however on the face of the prime minister, and mentioned it should reply questions on the rise in non-performing property (NPAs) and loans being written off.

“The BJP or the prime minister never contests polls on issues and seeks votes on its report card as they never work. Every election is being contested on the personal background of the prime minister. But, who will answer as to why big haircuts are being given by banks,” she instructed reporters at a press convention.

The Congress chief mentioned 61 per cent of the fiscal deficit could be funded by this write-off alone. But the federal government won’t ever focus on this as they don’t perceive the economic system, she alleged.

“The benefit is to be given only to a few select industrialists and nothing else and that is why no answers are coming,” she mentioned.

She mentioned that within the final 5 years alone, the federal government has written off Rs 10 lakh crore and solely 13 per cent of that quantity has been recovered, asking why are such enormous quantities of debt written off and why is just 13 per cent of that debt recovered.

Shrinate mentioned the cheerleaders of the federal government will say this isn’t a mortgage waiver however a write-off, contending that that is nearly as good as a mortgage waiver as a result of you’ll be able to get well solely 13 per cent.

“If the common man fails to pay EMIs, they will be named and shamed and recoveries will be made, but it is astonishing as those who have defaulted in a big way have not been named so far. This money is being given away from the tax-paying money and that money is being used to absolve corporates of their liabilities,” she alleged.

The Congress spokesperson claimed that the NCLT and IBC have absolved company debtors of their legal responsibility as a result of banks are giving them a clear chit and haircuts of 70 to 90 per cent are being given and property are being transferred at throwaway costs.

She mentioned 542 instances had been resolved not too long ago via NCLT and IBC and the quantity of debt concerned was Rs 8 lakh crore and solely 2 lakh crore was recovered and one wonders the place the remainder of the cash went.

“NPAs under the Modi government have gone up by 365 per cent from Rs 5 lakh crore between 2008 to 2014 and risen to over Rs 18 lakh crore from 2014 to 2020,” she alleged.

“Wilful defaulters have risen substantially and from Rs 23,000 crore to Rs 2.4 lakh crore and one wonders who are these people who are defaulting wilfully and are not being brought to book. Why are write-offs of over 10 lakh Rupees and who are these corporates benefiting from it,” she requested.

Shrinate additionally questioned why PSU banks are being given unbridled energy to take haircuts and switch property at throwaway costs. “Is it being probed how they are doing this,” she requested.

“The government is answerable as to why have wilful defaulters gone up by 10 times and is there any plan to bring back 38 swindlers who have left the country after defaulting big amounts with banks. Is there a plan or strategy to bring them back,” she additionally requested.

NEW DELHI: The Congress on Tuesday alleged that NPAs have risen by 365 per cent below the Modi authorities and questioned why “unbridled powers” had been being given to PSU banks to “sell off assets at throwaway prices.”

Congress spokesperson Supriya Shrinate mentioned 38 wilful defaulters have fled the nation after swindling banks and requested the federal government about its plans to deliver them again.

She claimed that the BJP doesn’t contest elections on points or its report card however on the face of the prime minister, and mentioned it should reply questions on the rise in non-performing property (NPAs) and loans being written off.

“The BJP or the prime minister never contests polls on issues and seeks votes on its report card as they never work. Every election is being contested on the personal background of the prime minister. But, who will answer as to why big haircuts are being given by banks,” she instructed reporters at a press convention.

The Congress chief mentioned 61 per cent of the fiscal deficit could be funded by this write-off alone. But the federal government won’t ever focus on this as they don’t perceive the economic system, she alleged.

“The benefit is to be given only to a few select industrialists and nothing else and that is why no answers are coming,” she mentioned.

She mentioned that within the final 5 years alone, the federal government has written off Rs 10 lakh crore and solely 13 per cent of that quantity has been recovered, asking why are such enormous quantities of debt written off and why is just 13 per cent of that debt recovered.

Shrinate mentioned the cheerleaders of the federal government will say this isn’t a mortgage waiver however a write-off, contending that that is nearly as good as a mortgage waiver as a result of you’ll be able to get well solely 13 per cent.

“If the common man fails to pay EMIs, they will be named and shamed and recoveries will be made, but it is astonishing as those who have defaulted in a big way have not been named so far. This money is being given away from the tax-paying money and that money is being used to absolve corporates of their liabilities,” she alleged.

The Congress spokesperson claimed that the NCLT and IBC have absolved company debtors of their legal responsibility as a result of banks are giving them a clear chit and haircuts of 70 to 90 per cent are being given and property are being transferred at throwaway costs.

She mentioned 542 instances had been resolved not too long ago via NCLT and IBC and the quantity of debt concerned was Rs 8 lakh crore and solely 2 lakh crore was recovered and one wonders the place the remainder of the cash went.

“NPAs under the Modi government have gone up by 365 per cent from Rs 5 lakh crore between 2008 to 2014 and risen to over Rs 18 lakh crore from 2014 to 2020,” she alleged.

“Wilful defaulters have risen substantially and from Rs 23,000 crore to Rs 2.4 lakh crore and one wonders who are these people who are defaulting wilfully and are not being brought to book. Why are write-offs of over 10 lakh Rupees and who are these corporates benefiting from it,” she requested.

Shrinate additionally questioned why PSU banks are being given unbridled energy to take haircuts and switch property at throwaway costs. “Is it being probed how they are doing this,” she requested.

“The government is answerable as to why have wilful defaulters gone up by 10 times and is there any plan to bring back 38 swindlers who have left the country after defaulting big amounts with banks. Is there a plan or strategy to bring them back,” she additionally requested.