AIBEA alleges nexus between borrowers, banks and political administration

The names of the top fifty defaulters (in value terms) to the banking system will be revealed on Wednesday.

The All India Bank Employees Association will make public the names of these defaulting borrowers, its General Secretary, C.H. Venkatachalam, told Business Line.

These defaulters cumulatively owe about Rs 40,000 crore to the banking system.

Bank employees are observing All India day on December 5 as a mark of protest against increasing bad loans in banks.

Bad loans have alarmingly increased over the years.

Gross NPAs and bad loans in public sector banks have increased from Rs 39,000 crore as at end March 2008 to Rs 1,64,000 crore in end March 2013.

According to the RBI, banks have added Rs 4,94,836 crore to their bad loans between 2007 and 2013.

AIBEA has alleged that there is a nexus between borrowers, banks and political administration.

Source:http://www.thehindubusinessline.com/industry-and-economy/banking/bad-loans-aibea-to-release-top-50-defaulters-list/article5421523.ece