Financial bids for all 12 large NPA accounts by Jan-end: SBI

Country’s largest lender State Bank of India (SBI) expects financial bidding process for resolution of 12 big stressed accounts to be over by the end of January, said the bank’s top official.

SBI is the lead banker in 6 out of 12 large NPAs with total outstanding loan of Rs 1.75 lakh crore.

“Financial bids of Electrosteel and Monnet Ispat have already come. We hope to receive bids for remaining cases during January itself,” SBI Chairman Rajnish Kumar told.

Other cases which are pending before the National Company Law Tribunal (NCLT) under the Insolvency and Bankruptcy Code (IBC) are Essar Steel, Bhushan Steel, Bhushan Power and Steel, Lanco Infra, Alok Industries, Amtek Auto, Era Infra, Jaypee Infratech, ABG Shipyard and Jyoti Structures.

RBI’s internal advisory committee (IAC) in June identified 12 accounts, each having more than Rs 5,000 crore of outstanding loans and accounting for 25 per cent of total NPAs of banks.

Non-performing Assets (NPAs) of public sector banks have increased to Rs 7.33 lakh crore as of June 2017, from Rs 2.78 lakh crore in March 2015.

(Agencies)

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