New Delhi: Loans worth Rs 81,683 crore were written off by public sector banks (PSBs) in 2016-17, Finance Minister Arun Jaitley said today in the Rajya Sabha. In a written reply, Mr Jaitley said that loans are written off for tax benefit and capital optimisation, but the borrowers of such loans continue to be liable for repayment.
The amount written off, including through compromise, by PSBs was Rs 81,683 crore in 2016-17, including Rs 20,339 crore by State Bank of India, the finance minister said. The amount written off by nationalised banks was Rs 28,781 crore during 2017-18, up to September 2017.
According to the Reserve Bank of India (RBI) guidelines and policy approved by bank boards, non-performing loans, including those in respect of which full provisioning has been made on completion of four years, are removed from the balance sheet of banks by writing off.
Mr Jaitley said recovery of dues takes place on an ongoing basis under legal mechanisms. "Therefore, write-off does not benefit borrowers," Mr Jaitley said.
In another reply, Minister of State for Finance Shiv Pratap Shukla said that in the five financial years since April 1, 2013 as many as 13,643 cases of frauds in banks involving an aggregate amount of Rs 52,717 crore have been reported.
On a query regarding benami deals, Mr Shukla said over 1,000 properties have been attached provisionally under the Prohibition of Benami Properties Transactions Act till January 31, 2018.
"These include plots of land, flats, shops, jewellery, vehicles, deposits in bank account, fixed deposits. The value of properties under provisional attachment is over Rs 3,800 crore," he said.
The amount written off, including through compromise, by PSBs was Rs 81,683 crore in 2016-17, including Rs 20,339 crore by State Bank of India, the finance minister said. The amount written off by nationalised banks was Rs 28,781 crore during 2017-18, up to September 2017.
According to the Reserve Bank of India (RBI) guidelines and policy approved by bank boards, non-performing loans, including those in respect of which full provisioning has been made on completion of four years, are removed from the balance sheet of banks by writing off.
In another reply, Minister of State for Finance Shiv Pratap Shukla said that in the five financial years since April 1, 2013 as many as 13,643 cases of frauds in banks involving an aggregate amount of Rs 52,717 crore have been reported.
Advertisement
"These include plots of land, flats, shops, jewellery, vehicles, deposits in bank account, fixed deposits. The value of properties under provisional attachment is over Rs 3,800 crore," he said.
Advertisement
COMMENTS
Advertisement
State-Owned Banks In Good Condition, Time To Push Disinvestment: SBI Report Financial System Resilient, Banking NPAs At Multi-Year Low Of 2.8%: RBI Report Banks Recovered Over Rs 10 Lakh Crore Bad Loans In Last 9 Years: Centre "Is She Indian Or Black?": Trump On Kamala Harris UPSC Cancels Puja Khedkar's IAS Selection, Bans Her From Taking Exam Ever Delhi Schools To Remain Shut Today After Heavy Rain And Waterlogging 2 Dead, 1 Injured After Cloudburst Triggers Landslide In Uttarakhand "Is She Indian Or Black?": Trump On Kamala Harris Woman, Her 3-Year-Old Son Die After Falling Into Drain In Delhi: Cops Track Latest News Live on NDTV.com and get news updates from India and around the world.