SBI puts 24 NPA accounts up for sale to ARCs, NBFCs and other banks

Ritu Singh

Reporter | CNBC-TV18

• SBI puts 24 NPA accounts up for sale to ARCs, NBFCs and other banks

• RBI's Consumer Confidence Index falls further on employment and income woes

• Nearly 35-40 companies could figure on RBI's second list of loan defaulters

The country's largest lender, State Bank of India, steps up its battle against bad loans, puts several non-performing accounts, including those from RBI's second defaulter list, up for sale to other banks, asset reconstruction companies andNBFCs.

The State Bank of India has put 24 accounts for sale for loans outstanding from Rs 900 crore to as low as Rs 60-70 crore. These 24 accounts have total outstanding loan of Rs 3,554.24 crore with the largest loan to Jai Balaji which also features in the Reserve Bank of India’s second defaulter list.

The central bank has given banks time till December for finding resolution for these assets or National Company Law Tribunal will have to start liquidation process as per Bankruptcy Code.

The other accounts which are on sale include MSP Metallics, Global Offshore Services, Shiva Texfab, Varia Engg Works and Spentex Industries.