SBT offers
one-time settlement scheme
Our Banking
Bureau
11 March 2002
Thiruvananthapuram:
State Bank of Travancore (SBT) has come out with an offer of
one-time settlement of dues of its borrowers whose accounts have
been classified as non-performing assets as on 31 March 1997. The
offer is applicable to cases where the outstanding ledger balance
is Rs 1 crore and below on the cut-off date.
According to an SBT
statement, the scheme covers advances classified as substandard
assets as on 31 March 1997, and which had subsequently turned into
doubtful or loss assets. Advances classified as doubtful or loss
assets as on that date will also be covered by the scheme.
Cases pending before courts or debt-recovery tribunals or the
Board for Industrial and Financial Reconstruction will be covered,
subject to a consent decree obtained from them. But decreed
accounts and those accounts where recovery certificates have been
issued will be outside the purview of the scheme.
The scheme offers the
option to pay the settlement amount in one lump sum or in a down
payment of 25 per cent, with the balance in instalments spread
over a period of 12 months with interest. The scheme is open till
31 March 2002.
