Punjab National Bank (PNB) has put on sale loans worth Rs 300 crore to three entities and sought bids from asset reconstruction companies (ARCs) on a cash basis or through a mix of cash and security receipts (SRs), according to a sale document. Bidding will be held on the bank\u2019s e-auction platform. The accounts are SVS Buildcon (`50 crore), Gwalior Jhansi Expressways (Rs 105 crore) and Shiva Texfabs (Rs 145 crore). The first two accounts \u2014 both Delhi-based \u2014will be sold on a cash basis. The exposure to the Ludhiana-based Shiva Texfabs account will allow for a mix of SRs and cash in a ratio of 24:76. Before submission of the financial bid through e-auction method, interested organisations will have to submit a non-disclosure agreement and acceptance of the technical bid along with the name of the account for which they want to bid by July 18. The e-bidding will be held on July 20. \u201cIn case of crystallisation of non-funded facilities after the sale, that portion (converted into funded) will also be sold by the bank to the same ARC\/buyer on the same terms and conditions, as that of the sale for funded facilities, for which the ARC\/buyer will give acceptance through offer letter\/supplementary agreement\/ assignment agreement,\u201d PNB said in the document, adding, \u201cHowever, un-devolved LC (letters of credit) and un-devolved BG (bank guarantee) limits backed by 100% margin by way of FDR\u2019s (fixed deposit receipts) will not be offered for sale.\u201d After the Reserve Bank of India (RBI) issued its February 12 circular withdrawing all existing asset restructuring schemes, banks have been forced to recognise a large number of stressed accounts as non-performing assets (NPAs). The same circular also compels lenders to find a resolution for stressed accounts within 180 days of the date of default. If they are unable to do so, the account will have to be referred to the National Company Law Tribunal (NCLT) for resolution under the Insolvency and Bankruptcy Code (IBC).