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LATEST NEWS UPDATES | CIC tells RBI to give defaulters names to RTI applicant

CIC tells RBI to give defaulters names to RTI applicant

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published Published on May 31, 2019   modified Modified on May 31, 2019
-Deccan Chronicle

The RTI Act provides for a two-stage dispute resolution process.

Mumbai:
The Central Information Commission (CIC) has directed the RBI to disclose the list of big loan defaulters it had sent to various banks for resolution.

The CIC's directive came while deciding on a plea by an RTI activist, who had based the Right to Information application on media reports that RBI Deputy Governor Viral Acharya in a lecture in 2017 had said accounts of some loan defaulters had been sent to banks for resolution.

“The IAC (internal advisory committee) has recommended that the Reserve Bank of India should initially focus on stressed assets which are large, material and aged, in that they have eluded a viable resolution plan despite being classified as NPAs (non-performing assets) for a significant amount of time,” Acharya had said.

The RBI had accordingly directed banks to file insolvency applications against 12 large accounts comprising about 25 per cent of the total NPAs, he had said.

"The Reserve Bank has now advised the banks to resolve some of the other accounts by December 2017; if the banks fail to put in place a viable resolution plan within the timelines, these cases also will be referred for resolution under the IBC (Insolvency and Bankruptcy Code)," Acharya had said.

In her RTI application, Nutan Thakur wanted to know from the RBI the list of loan defaulters that was referred to in the lecture and the records of note sheets and correspondence regarding these accounts.

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Deccan Chronicle, 28 May, 2019, https://www.deccanchronicle.com/business/economy/280519/cic-tells-rbi-to-give-defaulters-names-to-rti-applicant.html?fbclid=IwAR172w6dG6N81HFFfsVUkusL3gDseRx-bP5vRv4Px1


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