PSBs given Rs 15,000 crore on ED action, says FM Nirmala Sitharaman

Finance minister said that over last two financial years, the number of non-performing asset accounts in the commercial banks have declined from 2.19 cr to 2.06 cr, showing decrease of 6 per cent

Over Rs 15,000 crore confiscated by the Enforcement Directorate (ED) from defaulters have been paid back to public sector banks, Finance Minister Nirmala Sitharaman informed the Rajya Sabha on Tuesday. 

“As of December 1, 2023, assets amounting to Rs 15,186.64 crore under the PMLA have been confiscated by the ED out of which Rs 15,183.77 crore have been restituted to the public sector banks. PMC Bank (now merged with Unity Small Finance Bank) has recovered Rs 104.02 crore with active cooperation and support from agencies. Assets amounting to Rs 692.89 crore have been confiscated under the provisions of the Fugitive Economic Offenders Act, 2018,” Sitharaman said replying to supplementary questions in the Rajya Sabha.

Sitharaman informed the Lower House that as of March 31, 2023, legal suits were filed for recovery against 13,978 loan accounts, action under the SARFAESI Act has been initiated in 11,483 cases, FIRs have been filed in 5,674 cases, and an aggregate amount of Rs 33,801 crore has been recovered.

The finance minister said that over the last two financial years, the number of non-performing asset accounts in the commercial banks have declined from 2.19 crore to 2.06 crore, showing a decrease of 6.2 per cent.

“Amidst the global turmoil and sorry state of affairs as regards the banking systems, the Indian banks continue to stand healthy, strong, and resilient. In our country, not only the non-performing assets are coming down, but also the profit margins are going up,” she added.