THIRUVANANTHAPURAM: Severely criticising the decision by State Bank of Travancore (SBT) to entrust recovery of student loan non-performing assets to Anil Ambani’s Reliance Asset Reconstruction Company (R-ARC), the Kerala Assembly has decided to pass a resolution against it and forward the same to the Centre.
Responding to a submission in the House on Monday, Chief Minister Oommen Chandy said he would write to Prime Minister Narendra Modi, Union Finance Minister Arun Jaitley and industrialist Anil Ambani expressing the state’s concerns in this regard.
The move by public sector bank SBT was against the spirit of bank nationalisation initiated during Indira Gandhi’s time, Chandy said adding that the issue would be brought before the union government’s attention.
The Chief Minister hoped that the Centre would also share the state’s concerns in this regard.
Oommen Chandy said he would write to the Prime Minister and Finance Minister bringing the issue to their attention.
“No way we can accept this decision by SBT. I would sent letters to the Prime Minister and Finance minister in this regard. In addition, I would also write to Anil Ambani, stating that if they collect this, it would be the revenue of the tears of many people,” The Chief Minister added.
Chandy pointed out that as per the decision, the Reliance ARC will pay Rs 9 crore to the bank immediately and the remaining Rs 54 crore will be paid to SBT over a period of 15 years.
Raising the issue through a submission, P C Vishnunath said the SBT decision should be opposed otherwise it could lead to many poor people being harassed in the name of loan repayment.