New Delhi in such circumstances is not going to spoil the reputation of the industry because of a few lousy sheep

Leading banking organization of India, as they say in the corridors of power in Delhi, resolutely intends to collect in court the lost money of the nationalized banks of India, and even set a deadline for this.

Raghuram Rajan, the head of the Reserve Bank of India, based in Mumbai, who is distinguished by his courteous manner, drew the Prime Minister's office to this, because he believes that this is the best way to achieve some "effective measures" In resolving the issue of the 10 largest fraudulent actions against the banks of India. Interestingly, all these institutions that do not fulfill their obligations are well-known real estate, media and diamond-diamond companies, they are all investigated by the Central Investigation Bureau (CBI), the main investigative department of the country.

Rajan, who is supported by the Enforcement Directorate (ED) and the Directorate of Revenue Intelligence (DRI), knows that non-payers will hide in their expensive shelters under the guise of laws and avoid full payment. But Rajan can not allow banks to reduce the rate of recovery in court of the lost, so as not to allow fraudsters to get off the hook.

The lost sums of money are huge, about Rs225 billion, almost as much as New Delhi hopes to receive from the sale of a 10 percent stake in Calcutta-based coal company Coal India, or money that the state oil and gas corporation Oil and Natural Gas Corporation Limited (ONGC ) Holds as a reserve for international investment in hydrocarbon projects.

All these large-scale frauds occurred in the last decade, thus causing a huge increase in non-performing assets (NPA), amounting to Rs2605.31 billion for PSU (public sector) banks in December last year. The worry is that these leading non-performing companies - take the first 30 on this list - account for slightly more than a third of these bad loans.

The Prime Minister's office, delighted by Rajan's active work on closing the cases, asked the Financial Services Department in the Ministry of Finance to apply for protection of rights to Ajit Kumar Seth, a member of the Cabinet of Ministers.

It is well known that Seth advocates the initiation of structural changes necessary to inform about fraud and establish a mechanism for coordinating and prosecuting large-scale banking fraud. Seth was at the forefront of the recent measures taken by the Prime Minister's Office to establish a high-level committee to develop standard working procedures that will be followed by all departments to form a sound anti-fraud mechanism in the banking sector.

These measures were taken after the prime minister's office saw that banks were not very cooperative in providing data relating to bad loans and that in 2014 it was the All India Bank Employees Association (AIBEA) that provided A list of those who are not fulfilling obligations, to the media, to emphasize what they call a deep concern among all PSU banks.

Rajan hopes to return, if not all, then some of the lost money. He told the Prime Minister's office the names of several companies: Winsome Diamond and Jewelery, Zoom Developers, Tiwari Group, Surya Vinayak Industries, Deccan Chronicle Holdings, First Leasing Company of India, Biolor Industries, Surya Pharmaceuticals, Prime Impex & Prime Pulses and Shivraj Puri.

Among the first in the list is the airline Kingfisher Airlines, which already said New Delhi (understand - to the Reserve Bank of India) that it is not able to pay Rs70 billion, which it owes to various banks and corporate structures. To solve the mystery Kingfisher Rajan will have to do something unexpected. Reports of Kingfisher - perhaps because of the girls in her calendars, the cricket players and parties with hip-hop music - often appeared in the media; The publisher even published a book about Vijay Mallya, once called The King of Good Times.

But it is reliably known that the Prime Minister's Office intends to investigate the cases of others, especially the second largest unscrupulous bank borrower in the country. And this is because there is enough suspicion that there was a secret conspiracy to default to Indian PSU banks for a colossal sum of Rs65 mdrd and for the amount of money withdrawn from India or directed to other projects.

The Prime Minister's Office and the Ministry of Finance are unanimous in the opinion that this company - the Winsome Group engaged in diamond trade - has defiled the industry that has been a source of pride in the country for the last two decades, and has also brought India international recognition. Experts from all over the world said that New Delhi and Beijing are the future stars of world trade in tapeworms. New Delhi in such circumstances is not going to spoil the reputation of the industry because of a few lousy sheep.

Winsome has accumulated non-payments by approximately Rs65.81 billion in loans from a consortium of 15 public sector banks, these funds were divided between three companies of the group: Winsome Diamond & Jewelers (Rs43.66 billion), Forever Precious Diamond and Jewelry (Rs19,32 Billion) and Suraj Diamonds (Rs2.83).

The group repeatedly ignored the notifications sent by banks, thereby actually declaring itself a malicious defaulter, and finally stated that this loan is a bad loan. The Central Vigilance Commission (CVC) referred the case to the CBR for criminal investigation.

Jatin Mehta, founder of Winsome, claims that his gold buyers - most of them with common property - do not fulfill their obligations in the UAE, because they suffered a loss of $ 1 billion in trading in derivative financial instruments and goods.

But no one in India believes its history, especially after the Prime Minister's office gathered evidence on how banks, customs and financial regulators "deliberately overlooked" Winsome documents filed over time. Worse still, the Central Bureau of Investigation and the Prime Minister's Office have evidence that companies called Winsome by its international distributors were in fact units for money laundering - firms registered in the "tax haven" that belonged to Mehta and His family. The CBR also has evidence that distributors did not have any collective ability to lose a billion dollars, as stated by Winsome. The main investigative department of the country is clear, That Winsome could not provide such a large loan to its distributors. Worse still, she probably did not ship gold, as claimed.

http://www.dnaindia.com/analysis/column-rbi-takes-aim-at-defaulters-2083869