GET Stock QuotesNews18 APP
News18 English
Powered by cricketnext logo
»
1-min read

PNB Hopes ‘Gandhigiri’ Will Help it Recover Bad Loans Worth Rs 150 Crore Every Month

Under 'Mission Gandhigiri', a recovery mechanism launched by PNB in May 2017, a team visits the borrower's office or residence and sits there silently. Currently, there are 1,144 field staff members who are driving the mission.

PTI

Updated:April 20, 2018, 7:50 PM IST
facebookTwittergoogleskypewhatsapp
PNB Hopes ‘Gandhigiri’ Will Help it Recover Bad Loans Worth Rs 150 Crore Every Month
People stand in front of the logo of Punjab National Bank outside a branch of the bank in New Delhi (File photo: Reuters)
New Delhi: Sitting silently with placards outside offices and residences of defaulters, the staff of Punjab National Bank hope to 'name and shame' such borrowers to recover up to Rs 150 crore worth bad loans every month under its nearly one-year-old 'Mission Gandhigiri'.

The state-owned lender, which has been at the receiving end of the over Rs 13,000 crore fraud involving diamond merchants Nirav Modi and Mehul Choksi, today said it is intensifying the initiative, amid rising concerns over non-performing assets in the banking system.

Under 'Mission Gandhigiri', a recovery mechanism launched by PNB in May 2017, a team visits the borrower's office or residence and sits there silently. Currently, there are 1,144 field staff members who are driving the mission.

"Through this initiative, the recovery team wishes to achieve its primary objective of getting these defaulters to the negotiation table and aim to recover Rs 100-150 crore in a month," the bank said in a statement.

Following the government's directions regarding wilful defaulters, PNB said it has taken a lead by taking strong steps over the past few weeks.

"The bank has already declared 1,084 wilful defaulters and published photos of 260 such defaulters in newspapers," it said.

The bank further said due to its aggressive stance towards wilful defaulters, 150 passports have been impounded over the past few months and the bank has also lodged 37 FIRs against defaulters.

Also, in a bid to leverage data analytics for loan recovery and risk management, the bank said it has tied up with a leading credit agency.

"This partnership will not only help the bank with loan recovery but will also help identify and automate profitable lending strategies and minimise credit and fraud risk," it said.

The bank is also working towards improving internal systems by incorporating analytics and artificial intelligence for reconciliation of accounts.

PNB also said its two special 'One Time Settlement' (OTS) schemes have helped accelerate NPA recovery.

As per the bank, from an average of recovering loan amount from 70,000-80,000 NPA accounts in a year, OTS has resulted in recovery from 2,25,000 NPA accounts over a span of 10 months.

The bank had gross non-performing assets (NPAs) of Rs 57,519 crore or 12.11 per cent of gross advances as of December 2017.

Also Watch

Read full article
Most Active
Company Price Change %Gain
Reliance 920.80 +4.95 +0.54
Vedanta 251.80 +1.20 +0.48
TCS 3,585.80 -17.90 -0.50
United Spirits 3,250.30 +131.15 +4.20
SBI 266.95 -1.55 -0.58
Company Price Change %Gain
HDFC 1,820.00 +13.95 +0.77
Just Dial 507.40 +42.55 +9.15
Avenue Supermar 1,497.45 +93.25 +6.64
PC Jeweller 192.45 +4.40 +2.34
United Spirits 3,251.00 +128.95 +4.13
Top Gainers
Company Price Change %Gain
Indiabulls Hsg 1,172.10 +60.30 +5.42
Hindalco 245.50 +11.40 +4.87
IOC 163.45 +7.55 +4.84
ONGC 175.45 +7.75 +4.62
HPCL 295.20 +11.95 +4.22
Company Price Change %Gain
ONGC 175.35 +7.70 +4.59
Tata Steel 567.20 +18.80 +3.43
Yes Bank 339.45 +8.95 +2.71
Adani Ports 379.90 +8.70 +2.34
IndusInd Bank 1,914.75 +43.55 +2.33
Top Losers
Company Price Change %Gain
Coal India 275.60 -4.50 -1.61
Tech Mahindra 702.75 -8.60 -1.21
Bharti Infratel 314.85 -3.50 -1.10
ITC 272.30 -2.55 -0.93
ICICI Bank 295.65 -2.05 -0.69
Company Price Change %Gain
Coal India 276.05 -3.80 -1.36
ITC 271.95 -2.85 -1.04
SBI 267.00 -1.50 -0.56
TCS 3,589.45 -15.35 -0.43
ICICI Bank 296.50 -0.75 -0.25