Panaji: The Central government has directed the State to help the public sector banks and financial institutions in recovering loans to the tune of Rs 57 cr.
Dakshita Das, Additional Secretary, Ministry of Finance wrote to State Chief Secretary Parimal Rai stating that the district magistrates are not helping banks in recovery proceedings.
As per letter there is recovery if Rs 7.51 cr in North Goa while South Goa has 49.94 cr.
“As you may be aware, the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002 was amended in 2016, prescribing inter alia a time limit of 60 days for disposal of applications filed u/s 14 of the Act by the secured creditors (banks and financial institutions) seeking assistance of the District Magistrates for taking physical possession of mortgaged properties of defaulting borrowers,” the letter says.
Further it says, it is a matter of serious concern that despite the time limit prescribed in the Act, applications u/s 14 of the Act from banks and financial institutions often remain pending with DMs for more than 60 days.
“A district-wise list of pending applications from public sector banks pending for more than 60 days as on 30.9.2020 in your State is enclosed. It is requested that all DMs in your state may kindly be asked to support the efforts of Banks/Fls to recover dues from defaulters and clear all the pending applications u/s 14 of the SARFAESI Act well within the prescribed period of 60 days. I am also sending copies of this letter to SLBCs and Banks to pursue the matter with the concerned DMs. I would be grateful for an update in this regard,” the letter read.