Attitudinal Change required for NPA resolution of MSME
Recently one unit from Hyderabad has challenged the action of one public sector bank under sarfaesi act in High court making industry department of govt of Telangana and reverse bank of India as respondent for a stay on the action.
As usual, both govt of Telangana and RBI did not respond and their lawyers asked for dates.
So, entrepreneur followed with both govt and RBI personally requesting for natural justice.
The shocking part (as here say) RBI Hyderabad law department said they have taken the matter to their Head office and they misinterpreted recent RBI circular for loans above 50cr asking for no resolution by existing methods like CDR, JLF etc.
This indicates the injuries to MSME sector, and Judiciary system and the basic premise of RBI for timely action in last 20 years by various circular by RBI.
A recent meeting of Kassia with PM Sri Narendra Modi and as reported by the president of Kassia for early action by PM and his remark of MSME being close to his heart is very stimulating and motivating.
Can anybody at Ministry of MSME and RBI take suitable steps to revive sick MSME’s? Just for information, 1cr jobs are at stake.