SC hearing on loan moratorium LIVE updates | Supreme court will continue hearing petitions seeking interest waiver on the six-month loan EMI moratorium that was allowed by the RBI.
The Supreme Court (SC) will resume hearing on a batch of petitions seeking interest waiver on loan moratorium granted by Reserve Bank of India (RBI).
The SC will resume hearing the case at 2 pm on September 3. Solicitor General Tushar Mehta will continue presenting his arguments.
Senior Advocate Rajiv Dutta, who appeared for a petitioner, on September 2 said "interest on interest is absolutely and prima facie wrong and they cannot charge it".
Also read: Interest waiver on moratorium loans: Waiver or not, someone is bound to get hurt
The SC has previously said there is "no merit in charging interest on interest".
The RBI had on June 4 said lenders will lose Rs 2 lakh crore if interest is waived during the moratorium period.
The RBI had in March announced a moratorium on repayment of term deposits for three months, which was later extended till August 31. The move was intended to provide borrowers relief during the COVID-19 pandemic.
(This is a developing story. Please check back for updates.)