The Associated Chamber of Commerce & Industries- Kashmir (CCIK) is surprised at the recent disclosure of heavy bank defaults and NPAs flying thick and fast in all types of media.
It said the alleged amount of defaults runs in thousands and lakhs of crores in which leading banks were the parties.
“If allegation of thousands of crores was made against one party, that same one defended it by pointing out defaults of some other party are running in lakhs of crores and why he alone should be maligned.”
It said these allegations and counter allegations have made them to think on the defaults and NPAs of the state.
“Here, we have miniscule amounts of defaults and NPAs which run only in thousands or a few Lakhs to individual parties. Law provides ways and means for recovery of such monies but the banks and financial institutions here start recovery of these petty loans by naming and shaming the unfortunate borrowers through print media, which is beyond ones comprehension.”
It said the banks and financial institutions make a secret trade agreement public.
“It is almost like a hue & cry notice of the police. The banks and financial institutions do not ask the same public before granting the loan whether anybody has any objection to the provision of loan and facility to such and such person. The general public is almost kept in the dark of the settlements reached after the naming and shaming notice.”
The CCIK would suggest doing away with such naming, shaming and arm twisting of its borrowers and adopt desirable and legal approach to deal with such cases.
