Fraud-hit PNB to hire detective agencies to locate untraceable borrowers
(Sourced from PTI)
Fraud-hit Punjab National Bank (PNB) has invited applications for empanelment of detective agencies to locate its untraceable borrowers as it looks to "significantly" supplement efforts to recover bad loans which surged to Rs. 57,519 crore at December end. In its efforts to recover NPAs, the PNB has also resorted to "Gandhigiri" wherein its staff hopes to "name and shame" defaulting borrowers.
The bank has been at the receiving end of the over Rs. 13,000 crore fraud by Nirav Modi and Mehul Choksi. PNB today invited applications with an aim to "significantly supplement efforts of the field officials in recovering bank's dues in NPA accounts by utilizing services of the detective agencies." Interested parties have been asked to file applications and relevant documents by May 5.
All NPA accounts (sub-standard, doubtful, and loss category) would be allocated to detective agencies for gathering information required by the bank. Services of detectives will be hired to locate the borrower(s)/co-borrower(s)/guarantor(s)/ mortgagor(s) (in/outside India) including their legal heirs who are either untraceable or not available at the addresses given in bank's records. The selected agencies will have to ascertain the latest information about defaulters.
Agencies will also have to find out bank account details maintained by the defaulting borrower/guarantor, including their legal heirs. They'll be given 60 days for submission of reports, which may be extended to 90 days in emergent circumstances keeping in view complexity of the case.
