RBI cracks the whip
The RBI cracked the whip on banks going slow in resolving cases of large bad loans, even setting a deadline for their resolution, six months in NPA cases of Rs 2,000 crore or more, failing which banks will have to compulsorily refer such cases for insolvency proceedings to the National Company Law Tribunal (NCLT).
As part of its prompt corrective action (PCA) plan, the Reserve Bank of India (RBI) has asked state-owned Dena Bank to refrain from issuing fresh loans or hiring personnel in view of its escalating non-performing assets (NPAs). On May 11, the bank declared a net loss of Rs 1,924 crore
