INSUBCONTINENT EXCLUSIVE:
MUMBAI: The Reserve Bank of India (RBI) has been examining about 200 bad-loan accounts going as far back as 2011as part of its annual
inspection of bank books to preempt any nasty surprises in bankruptcy court or subsequent to debt resolution, said several people with
knowledge of the matter.
These include the accounts of Videocon, Essar Steel, ABG Shipyard, Bhushan Steel and Monnet Ispat, they said
The central bank is looking at repayment history, classifications, provisions and debt restructuring among other things to ensure that all
the big stressed accounts, the asset classification adopted by various banks for the same account
queries.
While it could not be confirmed if RBI will take action in the event of norms having been violated, the checks are seen as an
effort to scour bank books ahead of the August 27 deadline by which lenders have to finalise debt resolution plan for loans of Rs 2,000
changed the framework for bad-loan resolution, tightening bank disclosures and eliminating all resolution mechanisms then extant in favour
of the NCLT route under the Insolvency and Bankruptcy Code (IBC).
Gross non-performing assets (NPAs) increased at a comparatively slower
rate in the June quarter from the year earlier, according to CARE Ratings
They stood at Rs 8.71 lakh crore at the end of June, of which Rs 1.29 lakh crore was with private sector banks and Rs 7.42 lakh crore with
