Banks' bad loans grew to Rs 1.94 lakh cr in Mar 2013: AIBEA

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All India Bank Employees Association, representing five lakh employees of public and private sector banks in the country, today demanded banks to publish the details of loan defaulters of Rs 1 crore and above. Reuters All India Bank Employees Association, representing five lakh employees of public and private sector banks in the country, today demanded banks to publish the details of loan defaulters of Rs 1 crore and above. Reuters
SummaryAll India Bank Employees Association, representing five lakh employees of public and private sector banks in the country...

All India Bank Employees Association, representing five lakh employees of public and private sector banks in the country, today demanded banks to publish the details of loan defaulters of Rs 1 crore and above.

Giving out statistics on the list of bad loans in banks, the Association General Secretary C H Venkataachalam said the bad loans or the non-performing assets in public and private sector banks end of March 2008 was Rs 39,030 crore.

"But it has increased to Rs 1,94,000 crore as on March 31, 2013," he told reporters here, adding that the total deposits in banks crossed Rs 75 lakh crore in the country.

Observing that the deposits made by the public should be "safeguarded" by proper regulations, he alleged that in the name of reforms and liberalisations, some banking regulations were being de-regulated.

"One of the main adverse effect of this de-regulation is the increase in bad loans in banks, where the borrowers take loans and do not repay," he said.

On the occasion, a list prepared by AIBEA, containing details about the loan defaulters totalling to Rs 40,528 crore that were lying in banks as bad loans was released.

Vijay Mallya-owned Kingfisher Airlines was topping the list of loan defaulters for not paying the loan amount of Rs 2,673 crore. Winsome Diamond and Jewellery Company Rs 2,660 crore, Electrotherm India Rs 2,211 crore, Zoom Developers Rs 1,810 crore, Sterling Biotech Ltd Rs 1,732 crore were the top ranked loan defaulters according to AIBEA.

Noting that December 5 was observed as 'All India Demands Day', he said: "The banks should publish the list of loan defaulters of Rs 1 crore and above and make willful default of bank loan as a "criminal offence".

"We want banks to take stringent measures to recover bad loans," he said, adding, the Association would shortly come out with a booklet containing the top 30 defaulters in each bank.

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