Canara Bank wrote off Rs 47,310Cr in 8 years, but recovered just 19%


New Delhi, Oct 20 (IANS): Canara Bank has written off bad loans worth thousands of crore of rupees and recovered paltry amounts from big defaulters.

According to a report in Money Life, like other PSBs, Canara Bank also refused to share this information as well as names of defaulters under the Right to Information (RTI) Act.

As per the report, Data shared by Pune-based RTI activist Vivek Velankar shows that during the past eight-year period from FY12-13 to FY19-20, Canara Bank wrote off a total of Rs 47,310 crore while recovering just 19 percent or Rs 8,901 crore from defaulters.

The report said Canara Bank too used vague reasons of privacy for not sharing information like names of big defaulters with a bad loan of Rs 100 crore and above.

In the reply to the RTI, the bank says, "Information sought is the personal information of the concerned and if disclosed would invade the privacy of those concerned and its disclosure does not have any relationship with public interest or activity and is exempted under section 8(1)(j) of the RTI Act."

Velankar, who is also president of the Sajag Nagrik Manch, asks, "When a common borrower defaults, the same banks publish his name and all details through advertisements in newspapers. Then why do they want to keep names of big defaulters hidden under the privacy cause? Why doesn't the 'privacy' clause apply while publicising the names of common borrowers?"

In several judgments, the Central Information Commission (CIC) had ruled that to qualify for the exemption under section 8(1)(j) of the RTI Act, the information must satisfy certain criteria, such as personal information and public interest.

The report said ordinarily, the adjective 'personal' is attributed to that which applies to an individual and not to an institution or a corporate. Therefore, it flows that 'personal' cannot be related to institutions, organisations or corporates, especially publicly listed entities with a large shareholding of retail investors.

Hence Section 8(1)(j) of the RTI Act cannot be applied when the information concerns institutions, organisations or corporates.

 

  

Comment on this article

  • francis lobo, Mangalore

    Tue, Oct 20 2020

    This is only for Canara bank till 2019. Now it had merged with Syndicate bank and the default and write-off will be higher. Syndicate bank was making bigger losses and NPA. Even SBI and RBI does not want to disclose large defaulters even after the Supreme court gave judgment to declare the same.Now the govt wants to bring FRDI bill and the small investors will lose their money if the bank goes bankrupt

    DisAgree Agree [4] Reply Report Abuse

  • sri_elder, Karkala

    Tue, Oct 20 2020

    Make amendments to RTI act.
    Make public all those dedaulters information!
    Congress made this useful RTI with lot of exemptions. Definitely politics 😁

    DisAgree [5] Agree [2] Reply Report Abuse

  • Jossey Saldanha, Mumbai

    Tue, Oct 20 2020

    Canara Bank was once a Smart Bank ...

    DisAgree Agree [11] Reply Report Abuse

  • Ronald D, Udupi

    Tue, Oct 20 2020

    "When a common borrower defaults, the same banks publish his name and all details through advertisements in newspapers. Then why do they want to keep names of big defaulters hidden under the privacy cause? Why doesn't the 'privacy' clause apply while publicising the names of common borrowers?" -Ham kare tho......!

    DisAgree Agree [12] Reply Report Abuse

  • AM, Mangalore

    Tue, Oct 20 2020

    People must raise huge agitation against this kind of partialities. Birth to death people are struggling to earn income and save for future, but some finger counted powerful people misusing and enjoying everything for which they did not work. If billion plus people does not protest against this, one day all the wealth will be with few people and country and banks will be bankrupt

    DisAgree Agree [7] Reply Report Abuse


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