UCO Bank puts Yashovardhan Birla in the list of wilful defaulter

New Delhi, Jun.17 : Public Sector UCO Bank has put Yashovardhan Birla in the list of wilful defaulter for non-payment of Rs 67.55 crore given to Birla Surya Ltd. However, for the loan he has been found guilty was granted by UCO Bank as part of consortium including State Bank of India, Punjab National Bank and United Bank of India. 

In this case the bank has a filed suit to recover the amount from the defaulter. This has been informed through bank’s website. According to this information, Birla Surya Ltd was sanctioned a credit limit of Rs 100 crore for fund-based facilities, for the purpose of manufacturing multi-crystalline solar photovoltaic cells, from UCO Bank’s corporate branch at Nariman Point, Mumbai.

“Due to non-repayment of dues to the bank, the account was declared non-performing asset (NPA) on June 3, 2013. The borrower has not repaid the dues owed to the bank despite several notices. The borrower company and its directors, promoters, guarantors were declared as willful defaulters by the bank and their name reported to the credit information companies for public information,” the notice issued by the bank said. 

As per RBI norms rule, the borrower is not sanctioned any additional facilities by banks or financial institutions and the unit is debarred from floating new ventures for five years and lenders may initiate criminal proceedings against the company and its directors. The Kolkata-based lender has issued a list 665 wilful defaulters and the amount outstanding that they owe to the bank, as part of name and shame exercise. 

Other prominent wilful defaulters released by the bank include Zoom Developers with outstanding loan amount of Rs 309.50 crore, First Leasing Company of India with Rs 142.94 crore, Moser Baer India with Rs 122.15 crore and Surya Vinayak Industries with NPA of Rs 107.81 crore. 

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