Supreme court rebukes Central government

New Delhi, Aug 3 (UNI) The Supreme Court today again came down heavily on the central government for dealing with its court order in a cavaliar fashion.

The court's rebuke came during the hearing of a PIL seeking directions to the Union Finance Ministry to take immediate steps for recovery of Non-Performing Assets (NPA) of nationalised banks and other government financial institutions, which have crossed Rs 1 lakh crore mark.

A Bench comprising Chief Justice Y K Sabharwal, Mr Justice C K Thakker and Mr Justice P K Balasubramanyan told government that had not filed its affidavit and no meeting of the officials has been held till date to suggest the ways for ensuring speedy recovery of the huge amount which has been rendered as NPA.

The court had in its earlier order observed '' this is essential not only in the interest of transparency and under the national right to information act, it would also be a useful input for any financial institution to evaluate the credit worthiness of the borrower. If there are any rules /guidelines /confidentiality agreement which come in the way of such disclosers , these should immediately be amended to bring them in line with disclosures, which in any case is required under the national Right to Information Act 2005.'' The court told the government to hold meeting of senior officials of Finance Ministry, RBI and the representatives of the petitioners' Common Cause on August 10 to chalk out a strategy for making speedy recovery of NPA from wilful defaulters.

Prashant Bhushan , counsel for the petitioners' submitted before the court that bank officials in connivance with the defaulters deliberately did not declare the amount of loan as NPA and the dafaulters continue to enjoy at the cost of public money without incurring any liability to repay the loan. He also submitted that the amount of NPA is rising sharply and had assumed alarming proportions eating into the foundations of indian economy as well as the country's banking system.

UNI AKS/SC MQA AT SND1351