Provide names of big loan defaulters: CIC to RBI
New Delhi: The Central Information Commission (CIC) has directed the Reserve Bank of India to disclose the list of big loan defaulters it had sent to banks for resolution.
The CIC's directive came while deciding on a plea by Lucknow-based activist Nutan Thakur, who had based her RTI application on some media reports that RBI Deputy Governor Viral Acharya in a lecture in 2017 had said accounts of some loan defaulters have 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)," the RBI deputy governor had said.
In her RTI application, 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.
The RBI had refused to provide the details to her by calling them "confidential information", following which she approached the CIC.
"The CPIO (chief public information officer) denied the information under section 8 (1) (d) (commercial confidence) of RTI Act whereas the first appellate authority held that the exemption under section 8 (1) (d) does not apply to the case and but falls under Section 45C and E of the RBI Act as per which the credit information submitted by all banks shall be treated confidential," Information Commissioner Suresh Chandra noted.
The Right to Information provides a two-stage dispute resolution process.
In the process, a CPIO receives and responds to the application.His decision to deny or provide partial information is first challenged before a senior officer within the organisation called the first appellate authority.
If the applicant is still unsatisfied, a second appeal can be filed before the CIC.
During the hearing before the commission this month, the RBI had said on September 16, 2017, the date of filing of the RTI application, the information was not provided due to pending resolution and the list of defaulters had not been finalised, but now they can provide the information.
On the issue of note sheets and correspondence, the central bank said it not only pertains to the list of willful defaulters but also the burrowers suffering economic distress.
"The information in that regard are so intertwined that it may not be possible to separate or sever each and every document...
"Disclosure of names of the borrowers of economic distress would breach the confidentiality among the customers and the RBI, hence, may be exempted under section 8 (1) (d) of RTI Act," it had said.
In his order, Chandra said he agrees with the RBI that the information related to note sheets and correspondence is voluminous and may also include additional information that is not sought in the RTI application.
He said the disclosure of entire files may also reveal the names of the borrowers which are not included in the list of willful defaulters.
"However, the respondent (RBI) is directed to provide information and documents pertaining to point nos. 1 and 2 of the RTI application (related to list of defaulters) to the appellant," Chandra said.
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Sujit Nair raises concerns over speculation of DMK-AIADMK understanding to block TVK
Chennai: Journalist and political commentator Sujit Nair has expressed concern over speculation that the Dravida Munnetra Kazhagam and the All India Anna Dravida Munnetra Kazhagam could explore a post-poll understanding to prevent Vijay-led Tamilaga Vettri Kazhagam from forming the government in Tamil Nadu.
In a social media post, Sujit Nair said the election verdict in Tamil Nadu reflected a clear public demand for political change and argued that the mandate should be respected irrespective of political preferences.
Referring to reports and political discussions surrounding a possible understanding between the DMK and AIADMK, he said he hoped such developments remained only speculative conversations and did not turn into reality.
Nair stated that if such an alliance were to take shape, it would raise serious questions about ideological politics in the country. He said TVK had emerged through a democratic electoral process and that the legitimacy to govern in a parliamentary democracy comes from the people’s verdict.
According to him, attempts to prevent an electoral winner from forming the government through unexpected political arrangements may be constitutionally valid, but many people could view them as politically opportunistic.
He further said that such a move could particularly affect the political image of the DMK, which has historically projected itself around ideology, social justice and opposition politics. Nair said that in ideological terms, the DMK appeared closer to TVK than to the AIADMK, and joining hands with its long-time political rival only to remain in power could weaken its broader political narrative.
He added that the same questions would apply to the AIADMK as well, as the party had spent decades positioning itself against the DMK and such an arrangement could create discomfort among its cadre and supporters.
Drawing a comparison with Maharashtra politics in 2019, Nair said he had expressed similar views when the Shiv Sena formed an alliance with the Indian National Congress and the Nationalist Congress Party after the Assembly elections.
He said post-poll alliances between long-standing political rivals often create a public perception that ideology and electoral mandates become secondary when political power equations come into play.
Nair also said such developments increase public cynicism towards politics and reinforce the belief among voters that ideology is often sidelined after elections.
He maintained that the Tamil Nadu verdict was emphatic and said respecting both the spirit and substance of the mandate was important for the credibility of democratic politics.
