PNB says over 1,700 wilful defaulters owe bank Rs 37,020 cr; Mehul Choksi's companies top of the list

Mehul Choksi-promoted Gitanjali Gems Ltd has an outstanding loan of Rs 5,064.84 crore. Gili India and Nakshatra Brands, also part of the Gitanjali Group, owed Rs 1,447 crore and Rs 1,109 crore each to PNB

Press Trust of India August 12, 2020 21:08:38 IST
PNB says over 1,700 wilful defaulters owe bank Rs 37,020 cr; Mehul Choksi's companies top of the list

Winsome Diamond & Jewellery, Gitanjali Gems and ABG Shipyard are among the big wilful defaulters who together owe more than Rs 37,000 crore to Punjab National Bank (PNB) as of the end of the first quarter of 2020-21.

As many as 1,787 big willful defaulters owe outstanding loans of Rs 37,020.27 crore at the end of June, according to the list of wilful defaulters with outstanding of Rs 25 lakh and above as of 30 June uploaded on the PNB website.

Leading the chart is Mehul Choksi-promoted Gitanjali Gems Ltd with an outstanding loan of Rs 5,064.84 crore. Gili India and Nakshatra Brands, which were also part of the Gitanjali Group, owed Rs 1,447 crore and Rs 1,109 crore each to the country's second largest state-owned lender.

Jatin Mehta-promoted Winsome Diamond & Jewellery Ltd owed Rs 1,036.85 crore while ABG Shipyard Ltd had outstanding loan Rs 1,193.37 crore at the end of June 30, 2020, the list showed.

Chandigarh-based chemical manufacturer Kudos Chemie Ltd with an outstanding loan of Rs 1,418 crore is among wilful defaulters who owe more than Rs 1,000 crore to the bank.

Among others, Vijay Mallya-promoted Kingfisher Airlines has outstanding loan of Rs 522.48 crore, Zoom Developers Rs 702 crore; Jas Infrastructure and Power Ltd Rs 453.96 crore; and Sterling Global Oil Resources Limited has Rs 755 crore.

All these companies were provided loans by PNB as part of consortium lending.

The bank has a committee consisting of the managing director and two board members for the review of identification of wilful defaulters and non cooperative borrowers classification.

For the quarter ended March 2020, the gross non-performing assets (NPAs) of the bank declined to 14.21 per cent of gross advances as against 15.50 per cent in March 2019. Net NPAs or bad loans also came down to 5.78 percent as against 6.56 per cent in the year-ago period.

In absolute value, gross NPAs stood at Rs 73,478.76 crore at the end of 2019-20, lower than Rs 78,472.70 crore reported in the previous fiscal. Similarly, Net NPAs were valued at Rs 27,218.89 crore as against Rs 30,037.66 crore.

As a result of improvement in asset quality, the provisioning for bad loans during the March quarter almost halved to Rs 4,618.27 crore compared to Rs 9,153.55 crore.

Updated Date:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

Nirav Modi won't get fair trial in India, former SC judge Markandey Katju tells UK court
India

Nirav Modi won't get fair trial in India, former SC judge Markandey Katju tells UK court

Katju also repeatedly made comparisons between India and Germany under the Nazi regime, saying Nirav Modi has been made a convenient scapegoat for India's economic crisis

Nirav Modi extradition trial begins today: UK court rejects plea seeking partial ban on reportage of case
Business

Nirav Modi extradition trial begins today: UK court rejects plea seeking partial ban on reportage of case

The 49-year-old fugitive diamantaire was arrested on 19 March, 2019, on an extradition warrant executed by Scotland Yard on charges of fraud and money laundering brought by the Indian government

PNB SO Recruitment 2020: Punjab National Bank releases notification for 535 posts; apply by 29 Sept
India

PNB SO Recruitment 2020: Punjab National Bank releases notification for 535 posts; apply by 29 Sept

The PNB SO recruitment exam will be held in October or November. The schedule for the exam will be released soon at pnbindia.in