V
V.Balasubramani
Guest
[h=1]
Court earlier passed orders to publish the name of the willful defaulters and believed that ‘Naming & Shaming’ will discourage individuals/firms in defaulting.
And now SC seems to be of the opinion that ‘Naming and Shaming’ is pointless. Now SC wanted to find out the root cause of the problem.
Disclosure of names of big loan defaulters pointless: SC[/h][h=2]Focus should be on the question why non-performing assets are piling up, says CJI[/h]The Supreme Court on Friday said public disclosure of names of defaulters who owe banks over Rs. 500 crore in bad loans is pointless.
A Bench led by Chief Justice of India T.S. Thakur said focus, instead, should be on the question “why these non-performing assets [NPAs] are piling up.”
“Disclosure of the names will not lead us anywhere. The root of the problem is why are these NPAs accumulating ... why are they being allowed to do so?” Chief Justice Thakur observed.
The observation from the Bench gains significance as it was on the Supreme Court’s order that the government filed a confidential list of 57 defaulters who owe the banks about Rs. 85,000 crore in bad loans.
The previous hearings had seen the apex court turn the heat on the Reserve Bank of India for expressing reluctance in making public the names of big loan defaulters.
“Who are these people who have borrowed money and are not paying back? Why this fact that the person has borrowed money and not paying back be not known to public?” the Chief Justice had asked in the previous hearing.
Read more at: http://www.thehindu.com/news/nation...s-sc/article9362351.ece?textsize=large&test=1
Court earlier passed orders to publish the name of the willful defaulters and believed that ‘Naming & Shaming’ will discourage individuals/firms in defaulting.
And now SC seems to be of the opinion that ‘Naming and Shaming’ is pointless. Now SC wanted to find out the root cause of the problem.
Disclosure of names of big loan defaulters pointless: SC[/h][h=2]Focus should be on the question why non-performing assets are piling up, says CJI[/h]The Supreme Court on Friday said public disclosure of names of defaulters who owe banks over Rs. 500 crore in bad loans is pointless.
A Bench led by Chief Justice of India T.S. Thakur said focus, instead, should be on the question “why these non-performing assets [NPAs] are piling up.”
“Disclosure of the names will not lead us anywhere. The root of the problem is why are these NPAs accumulating ... why are they being allowed to do so?” Chief Justice Thakur observed.
The observation from the Bench gains significance as it was on the Supreme Court’s order that the government filed a confidential list of 57 defaulters who owe the banks about Rs. 85,000 crore in bad loans.
The previous hearings had seen the apex court turn the heat on the Reserve Bank of India for expressing reluctance in making public the names of big loan defaulters.
“Who are these people who have borrowed money and are not paying back? Why this fact that the person has borrowed money and not paying back be not known to public?” the Chief Justice had asked in the previous hearing.
Read more at: http://www.thehindu.com/news/nation...s-sc/article9362351.ece?textsize=large&test=1
