Move NCLT as last resort, banks told

Mumbai, September 11

The government today asked banks to put in all efforts to resolve bad loans themselves and approach National Company Law Tribunal (NCLT) only in the absence of any alternative.

Minister of State for Finance and Corporate Affairs Anurag Thakur said the NCLT route should not be used by bankers to resolving stressed accounts on a daily basis.

“I would request bankers to try and resolve stressed assets in the right earnest and refer cases to NCLT only if satisfied resolution outside the NCLT process is not available,” Thakur said at the 72nd annual general meeting of Indian Banks’ Association (IBA).

He assured the bankers to take decision to lend to the industry without any fear of ‘witch-hunting’ in future by any investigative agencies. — PTI