NPAs rose by 365% to Rs 18L crore between 2014 and 2020: Congress

New Delhi: Hitting out at the BJP-led government, the Congress on Tuesday alleged that NPAs have risen by 365 per cent under the Modi government as it used to be Rs 5 lakh crore between 2008 to 2014 and it has risen to over Rs 18 lakh crore in the first six years of the BJP government, which is from 2014 to 2020.

While talking to reporters, Congress spokesperson Supriya Shrinate said that in the last five years alone, the government has written off about Rs 10 lakh crore and only 13 percent of that write off has been recovered, which amounts to about Rs 1.3 lakh crore.

"Wilful defaulters have risen substantially and from Rs 23,000 crore to Rs 2.4 lakh crore and one wonders, who are these people who are defaulting wilfully and are not being brought to book," she said.

Also, 38 wilful defaulters have fled the country after swindling banks and the government has not yet planned any strategy to bring them back, Shrinate said, adding that the BJP does not contest elections on issues or its report card but on the face of the prime minister and the government needs to answer questions on the rise in non-performing assets (NPAs) and loans being written off. "The BJP or the Prime Minister never contests polls on issues and seeks votes on its report card as they never work. Every election is being contested on the personal background of the Prime Minister. But, who will answer as to why big 'haircuts' are being given by banks," Shrinate told reporters.

The Congress leader further alleged that 61 per cent of the fiscal deficit can be funded by this write off alone, but the government will never discuss this as they do not understand the economy. "The benefit is to be given only to a few select industrialists and nothing else and that is why no answers are coming," she said, adding that the cheer leaders of the government will say this is not a loan waiver but a write off, contending that this is as good as a loan waiver because you are able to recover only 13 per cent.

"If the common man fails to pay EMIs, they will be named and shamed and recoveries will be made, but it is astonishing as those who have defaulted in a big way have not been named so far. This money is being given away from the taxpayers money and that money is being used to absolve corporates of their liabilities," she alleged.

The Congress spokesperson further claimed that the NCLT and IBC have absolved corporate borrowers of their liability because banks are giving them a clean chit and haircuts of 70 to 90 per cent are being given and assets are being transferred at throwaway prices.

Recently, 542 cases were resolved through NCLT and IBC and the amount of debt involved was Rs 8 lakh crore and only Rs 2 lakh crore was recovered and one wonders where the rest of the money went, she stated.