This bill will reportedly empower the Reserve Bank of India (RBI) to take control of the stressed assets in the banking sector, amounting to Rs 8 lakh crore.
The Lok Sabha had passed it last week.
“Non-Performing Assets (NPAs) in the public sector banks alone account for about Rs 6.41 lakh crore at end-March,” said Arun Jaitley, Union Finance Minister, replying to a debate on the bill.
“It is true that the NPA figure is rising…It has nothing to do with my tenure except that after I took over, the interest (on loans) keeps rising. The interest did not stop on that day. These are all old loans,” he said.
Replying on the issue of publishing the name of the defaulters, the finance minister further said that there is no prohibition in either announcing the name of displaying the photographs of the loan defaulters.
“In fact, all the wilful defaulters’ names and photographs are published through advertisements,” he said.