Rs 10,09,511 crore loans written off in 5 years: Govt
New Delhi, (PTI): Scheduled commercial banks have written off loans amounting to over Rs 10.09 lakh crore in the last five financial years and the process of recovery of dues from the borrowers continues, Union Finance Minister Nirmala Sitharaman informed the Lok Sabha on Monday.
Sitharaman said recovery in NPA (non performing asset) accounts, including written-off loans, was an on-going process.
According to Reserve Bank of India (RBI) data, public sector banks have recovered Rs 4,80,111 crore, including Rs 1,03,045 crore from written-off loans, during the last five financial years, she said.
"As per inputs received from the RBI, scheduled commercial banks have written off an amount of Rs 10,09,511 crore during the last five financial years," Sitharaman said during Question Hour.
The borrowers of written-off loans continue to be liable for repayment and the process of recovery of dues from the borrower in written-off loan accounts continues, she added.
Banks continue to pursue recovery actions initiated in written-off accounts through various recovery mechanisms available, Sitharaman added.
The actions include filing of a suit in civil courts or in Debts Recovery Tribunals, action under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, filing of cases in the National Company Law Tribunal under the Insolvency and Bankruptcy Code, 2016, through negotiated settlement and compromise and sale of NPAs.
"Therefore, write-off does not benefit the borrowers," she said.
The minister said according to RBI guidelines and policy approved by banks' boards, NPAs, including those in respect of which full provisioning had been made on completion of four years, were removed from the balance sheet of the bank concerned by way of write-off.
Banks evaluate and consider the impact of write-offs as part of their regular exercise to clean up their balance sheet, avail of tax benefit and optimise capital, in accordance with RBI guidelines and policy approved by their boards, she said.
Replying to a question, Sitharaman said the process of retrieving money of small depositors and investors from loan defaulters was very complicated as the legal process was lengthy and there were multiple claimants to the seized assets that included banks and other financial institutions.
The minister said she was aware of the depositors undergoing extreme difficulties and there was a need to look into the issue and how to simplify the process.
Earlier, Minister of State for Finance Bhagwat Kishanrao Karad said names of loan defaulters were not disclosed due to RBI guidelines but their names could be disclosed once their assets were put up for auction.
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Suspected drones observed along IB in Jammu's Samba, being engaged: Army
Jammu, May 12 (PTI): Security forces are engaging suspected drones observed along the International Border in Samba district of Jammu region on Monday, an Army said.
This fresh incident of drone activity along the borderline comes barely hours after Prime Minister Narendra Modi’s first address to the nation following Operation Sindoor and the meeting of the DGMOs of India and Pakistan.
The Army, however, said there is no need to be alarmed.
“A small number of suspected drones have been observed near Samba in J&K. They are being engaged,” it said.
In the backdrop of the situation, several areas witnessed blackouts in Samba, Kathua, Rajouri, and Jammu.
Lights were switched off at the cave shrine of Mata Vaishno Devi and along its track as a precautionary measure, sources said.
On Monday, talks between the DGMOs were held during which issues related to the continuing commitment that both sides must not fire a single shot or initiate any aggressive or inimical action against each other were discussed, the Indian Army said.
It was also agreed that both sides would consider immediate measures to ensure troop reduction along the borders and in forward areas, it added.
The situation remained largely peaceful across Jammu and Kashmir, with no incidents of ceasefire violation reported along the Indo-Pak border Sunday overnight — marking the first calm night after 18 days of hostilities following the Pahalgam terror attack that left 26 people — mostly tourists — dead.
India and Pakistan on Saturday reached an understanding to cease all firing and military actions on land, air, and sea with immediate effect, following four days of intense cross-border drone and missile strikes that brought the two countries to the brink of full-scale war.
Eighteen days of intense hostilities following the Pahalgam terror attack and Operation Sindoor, which brought India and Pakistan to the brink of war, ended with a ceasefire that restored calm along the Line of Control, the International Border, and the hinterland in Jammu and Kashmir. The Army thwarted Pakistan’s Hamas-style kamikaze drone attacks during the escalation.
Since the night of April 24, hours after India suspended the Indus Waters Treaty in response to the Pahalgam terror attack, Pakistani troops repeatedly targeted Indian positions along the LoC — beginning in the Kashmir Valley and quickly expanding to the Jammu region.
The latest hostilities began in the northern districts of Kupwara and Baramulla in the Kashmir Valley, before spreading southwards to Rajouri, Poonch, Akhnoor, and the Pargwal sector along the International Border in Jammu district. The firing affected five border districts — Baramulla, Kupwara, Poonch, Rajouri, and Jammu.
The recent round of cross-border firing further undermined the ceasefire agreement reached in February 2021, which has largely been seen as ineffective due to Pakistan’s frequent violations along the 740-km-long LoC.
The April 22 terror attack, which claimed the lives of 26 people — mostly tourists — in Pahalgam’s Baisaran valley, triggered a strong response from the central government.
The India-Pakistan border stretches over 3,300 kilometers, divided into three segments: the International Border (IB), spanning about 2,400 km from Gujarat to Akhnoor in Jammu; the 740-km-long Line of Control (LoC) that divides Jammu and Kashmir; and the 110-km-long Actual Ground Position Line (AGPL), which separates the Siachen Glacier region.
WATCH: OP Sindoor continues. Minutes after PM Speech.
— Rahul Shivshankar (@RShivshankar) May 12, 2025
A small numbers of suspected drones being observed near Samba in J&K. Being engaged . pic.twitter.com/jmGmRkmQ26
