UBI Officers form team to recover NPA dues

Chennai, Feb 11: To supplement the efforts of the management in recovering NPAs, the Officer's Association of the public sector Union Bank of India (UBI) has hit upon a novel idea to recover the chronic NPA dues.

The association has formed a recovery team, comprising officers and managers, for collecting the NPA dues from wilful defaulters and major defaulting borrowers.

Talking to UNI here today, Association General Secretary N Govindarajulu said the team, comprising several groups, would visit the place of wilful defaulters and major borrowers and appeal to them to settle the dues.

This was for the first time in Tamil Nadu that such a group had been formed.

"The exercise is being done to step up the recovery of NPAs and it will be in addition to the normal efforts made by the Bank to recover the dues", he said.

The group, comprising officers and managers of various UBI branches in the city, would visit the defaulters' place in weekends and on the evenings.

In Chennai city alone, there were about 100 defaulters, who had been avoiding payment over the last few months, leading to the rise in the NPA level. Of this, about 75 to 80 borrowers had borrowed loans of Rs 50 lakh and above. More than 25 of the defaulters had been given a loan of Rs one crore and above by the Bank.

"The main idea is to try and expedite and recovery", Association Treasurer K Muthiah said and added similar groups would be formed on national basis and at various district levels to step up the recovery and in turn reduce the NPA level of the bank.

The ALL India Union Bank Officer's Federation will meet on February 18 at Kolkata where the issue of recovering the NPAs by involving groups formed by the Associations would be discussed.

Formation of similar groups at the national level would be finalised at the meeting.

UNI