Wilful defaulter norms in place since 2007: RBI
Wilful defaulter norms in place since 2007: RBI
The RBI clarified on Tuesday that it has not made any relaxations for willful defaulters.
The RBI clarified on Tuesday that it has not made any relaxations for willful defaulters.
As it sought to address the heat and dust raised over its recent circular on compromise settlements with such borrowers.
As it sought to address the heat and dust raised over its recent circular on compromise settlements with such borrowers.
The regulator, through frequently asked questions (FAQs).
The regulator, through frequently asked questions (FAQs).
Said that provisions for such compromise settlements have been in place for over 15 years.
Its latest circular is aimed at tightening existing norms.
Its latest circular is aimed at tightening existing norms.
The RBI added that its framework for stressed assets, dated June 7, 2019, prohibits lenders from restructuring accounts of fraud or wilful defaulters.
Restructuring involves lenders maintaining an ongoing credit relationship with the borrower entity.
Restructuring involves lenders maintaining an ongoing credit relationship with the borrower entity.