Fema / RBI : RBI has standardized the 90-day NPA classification rule across all NBFC categories, including NBFC-BL entities, effective 31 March...
Finance : MSMEs in Jammu and Kashmir continue to face auctions and asset seizures despite mandatory RBI restructuring safeguards. The articl...
Fema / RBI : The functioning of co-operative banks has always demanded a delicate balance between regulatory compliance, financial prudence, an...
Fema / RBI : Explore Indias debt restructuring plans and their effectiveness in addressing the rising NPAs in the banking sector amid ongoing f...
Fema / RBI : Learn about Non-Performing Assets (NPA) classification, categories, and provisioning requirements as per RBI norms for effective a...
Fema / RBI : India’s banks record a sharp decline in bad loans, with gross NPAs at 2.15% by September 2025, highlighting the impact of sustai...
Fema / RBI : Gross non-perofrming assets (NPAs) improves from 11.33% in FY2017-18, to 13.52% in FY2018-19, to 14.69% in FY2019-20 As per Reserv...
Fema / RBI : ABG Shipyard was incorporated on 15 March 1985, has been banking arrangements since 2001. Financed under Consortium arrangement ov...
Fema / RBI : Gross non-performing assets of scheduled commercial banks have declined As per Reserve Bank of India (RBI) data on global operatio...
Fema / RBI : We advise that as per the circular dated April 17, 2020 on asset classification and provisioning, in respect of all accounts class...
Corporate Law : The Supreme Court held that under the amended Section 13(8) of the SARFAESI Act, the borrower's statutory right of redemption ends...
Corporate Law : NCLAT ruled that reclassifying corporate debtor accounts as standard cannot affect a creditor’s right to pursue personal guarant...
Corporate Law : NCLT Chennai rules IBC not right for ED attachment revocation in Nathella Sampath Jewelry case. Detailed analysis of jurisdictiona...
Income Tax : Explore the ITAT Bangalore order in Belur Urban Co-operative Bank vs ITO. Learn why reassessment on interest in NPA loans is direc...
Income Tax : ITAT Pune held that it is settled legal position that interest on (Non-Performing Assets) NPAs cannot be taxed on accrual basis....
Finance : International Financial Services Centres Authority (IFSCA) Clarifies Due Date for Recognition of Non-Performing Assets (NPAs) in...
Fema / RBI : Reserve Bank of India RBI/2022-23/130 DOR.ACC.REC.No.74/21.04.018/2022-23 October 11, 2022 Madam / Dear Sir, Reserve Bank of India...
Fema / RBI : The ‘previous 90 days period’ for determination of ‘out of order’ status of a CC/OD account shall be inclusive of the day ...
Fema / RBI : The extant instructions on IRACP norms specify that an amount is to be treated as overdue if it is not paid on the due date fixed ...
Fema / RBI : With a view to moving towards international best practices and to ensure greater transparency, '90 days' overdue1 norms for identi...
In order to ensure the completeness and integrity of the automated Asset Classification (classification of advances/investments as NPA/NPI and their upgradation), Provisioning calculation and Income Recognition processes, banks are advised to put in place / upgrade their systems to conform to the following guidelines latest by June 30, 2021.
Moratorium accounts not to be declared as NPA until further notice: Order by Apex Court on September 03, 2020 & September 10, 2020 The apex court heard petition of borrowers on September 03, 2020 seeking interest waiver on loan moratorium granted previously by Reserve Bank of India (“RBI”). In the backdrop of COVID-19, banks had […]
Gajendra Sharma Vs Union of India (Supreme Court ) The issue under consideration is whether the interest will be charged on loan during moratorium period which is declared by RBI due to COVID-19? As per RBI’s circular dated 27th March, 2020 the RBI has extended the moratorium period from June 01 to 31st August, 2020 […]
THE FINANCIAL STABILITY OF THE BANKING SECTOR THE BANK AND THE BORROWER A RELATIONSHIP OF TRUST, FAITH, HOPE AND UNDERSTANDING. The advent of banking reforms in India has brought the concept of NPA (Non-Performing Asset) which has changed drastically the perception and approach of the bank and the customer when dealing with loans financed by […]
‘When virtue is lost, benevolence appears, when benevolence is lost right conduct appears, when right conduct is lost, expedience appears. Expediency is the mere shadow of right and truth; it is the beginning of disorder’. A good and faithful banker ever prefers honourable settlement to the expedient action and expediency cannot be a policy for […]
We advise that as per the circular dated April 17, 2020 on asset classification and provisioning, in respect of all accounts classified as standard as on February 29, 2020, even if overdue, the moratorium period, wherever granted, shall be excluded by the lending institutions from the number of days past-due for the purpose of asset classification.
In the current era the word NPA is well heard or well read by us. The banking industry is facing a high NPA problem which leads to downtrend of profitability. Let us try to understand the NPA mechanism in a simple and lucid manner. In simple words NPA stands for Non Performing Assets. If we […]
The period of the moratorium during lockdown will not be reckoned by ICICI Bank for the purposes of computation of the 90-day NPA declaration period. Further, if the lockdown extends beyond 31st May 2020, then these days will be deferred accordingly, irrespective of whether the moratorium itself is extended beyond 31st May 2020.
Hon’ble Court opined that irrespective of the question, as to whether the moratorium as envisaged by RBI would be applicable to the petitioner qua the instalments, any classification of the petitioner’s accounts as NPA in present situation would certainly cause a grave and irreparable loss to the Petitioner.
The issue under consideration is that the petitioner seeks a direction to the respondent not to declare its pending loan accounts as Non Performing Assets (NPA). The petitioner also seeks a direction to the respondent for grant of moratorium of three months to it in terms of circular issued by the Reserve Bank of India(RBI).
