India Moves Ahead To Seal Its Gates For Defaulters

India Moves Ahead To Seal Its Gates For Defaulters

After a number of businessmen claimed to have fled without paying crores of Rupees of bank loans, India is tightening its screws to stop others. There is a list of 91 people prepared by the government to stop them from leaving India. These people are acknowledged as owners or directors from different Indian companies, who now are considered as defaulters, as stated by one of the spokesperson. It is reported that around 400 companies have been acknowledged as defaulters.

There are a large group of individuals who became guarantors for the credits of more than $7.7 million, are in the list prepared by the government. As per the report, the government has asked for the passport details of these individuals, who are in the scanner. It is also been stated that the individuals might be asked to stay back in the country if there is a connection between the individuals and the willful defaulters, as stated by the spokesperson.

The anger against the government is bound to rise among the people after two known jewelers fled right before the allegations of the bank fraud came under scrutiny. This forced the lawmakers to pass the bill stating that the authorities will have complete power to seize the assets of willful defaulters who have left the country after not paying more than 1 billion rupees back to the bank.

Around 31 Indians have left the country to avert any sort of action being taken against them. The list includes the names of Vijay Mallya, who is fighting cases in London including extradition. Nirav Modi along with his wife and brother, Ami Modi and Neeshal Modi, alleged with the guilt of defaulting Punjab National Bank, has left the country. Jatin Mehta, another renowned jeweler, has also fled to St. Kitts.

The government is under extreme pressure as the national elections are just around the corner happening early next year. They need to act strongly against the defaulters who have left the country. The efforts have been made by India’s regulator to clean up the bad loans of around $210 by tightening the rules and regulations of bankruptcy.

About Yash Lavate

Yash Lavate is a Junior Content Writer and has recently joined The PolesMag. Having recently graduated, Yash is a fresher in the industry and aims at making a career in the field of content writing. Being new in the industry, his skills are extraordinary and can be a tough competition to some of the experts in the company. Yash also likes partying and spending some time with his friends in his leisure time.

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