Bank NPAs bigger scam than 2G: Yechury

Bank NPAs bigger scam than 2G: Yechury

New Delhi, Oct 15 (IANS) Attacking the BJP-led Central government over loan waivers for corporates, CPI-M General Secretary Sitaram Yechury on Saturday said the unpaid loans owed by private companies to the nationalised banks was a scam “10 times bigger” than the 2G spectrum scandal.

“More than Rs 11 lakh crore has been borrowed by Indian corporates form nationalised banks which they did not repay. Not only the government did not do anything to recover them, but waived off Rs 1.12 lakh crore owed by the corporates in the last two years.

“It is a humongous scam. A scam 10 times bigger than the 2G spectrum,” the Communist Party of India-Marxist leader said on social networking sites Twitter and Facebook.

“When you ask to waive off the loans of the farmers who are committing suicide due to distress, the government is unwilling to do so, saying it does not have enough resources, but (it) can waive off corporate loans to the extent of Rs 1.12 lakh crore.”

According to him, this “reflects the real face of the Central government”.

Yechury, who has been opposing the government proposal of creating a “bad bank”, called for recovering the loans instead of restructuring the banks.

“The suggestion of creating a bad bank is a bad idea, as it lets big defaulters get away scot-free. You just cannot restructure the nationalised banks so that they are once again able to dole out loans to the corporates,” said the leader who has written to Prime Minister Narendra Modi calling for “naming and shaming” the top 100 corporate loan defaulters and opposing the creation of a “bad bank”.

“All this money which has been misappropriated in this fashion belongs to the public. Instead of creating a bad bank the government must take immediate steps to recover the loans from the corporates,” added Yechury.

Leave a Reply

Please enter your comment!

The opinions, views, and thoughts expressed by the readers and those providing comments are theirs alone and do not reflect the opinions of www.mangalorean.com or any employee thereof. www.mangalorean.com is not responsible for the accuracy of any of the information supplied by the readers. Responsibility for the content of comments belongs to the commenter alone.  

We request the readers to refrain from posting defamatory, inflammatory comments and not indulge in personal attacks. However, it is obligatory on the part of www.mangalorean.com to provide the IP address and other details of senders of such comments to the concerned authorities upon their request.

Hence we request all our readers to help us to delete comments that do not follow these guidelines by informing us at  info@mangalorean.com. Lets work together to keep the comments clean and worthful, thereby make a difference in the community.

Please enter your name here