The loan moratorium period for loan and EMI payments ended in August 2020 but the case related to charging of additional interest rates by the banks during the grace period seems to be appear to pass slowly in Supreme Court.
On Thursday i.e. 10th September, Tushar Mehta – Solicitor General, appearing for the RBI and the Centre, said two or three rounds of stakeholder meetings have taken place. “On concerns expressed on the last date, two or three rounds of meeting have taken place and it has been examined,” said Mehta. He added, “Considered decisions have to be taken. In consultation with banks as banks will play a vital role. Kindly defer matter for two weeks.”
Salve said, “A new resolution has come and which is to be registered and norms will be effectuated. For individual borrower, the common man, state bank had effectuated guidelines.” To Salve’s statement, Justice Ashok Bhushan asked, “Who will put this forth?” Salve told Justice Bhushan that the Ministry of Finance will take the decision and that it has been “done at the level of the RBI”.
However, senior advocate Kapil Sibal, appearing on behalf of CREDAI, said the loan restructuring may not provide any relief to 95 per cent of the borrowers. Citing reports, Sibal said that borrowers are being downgraded and that they must be protected in view of the current economic situation.
SC finally decided to give time to SG Tushar Mehta and asked him to file a “concrete reply” on behalf of Centre and RBI so the matter not adjourned again. The Supreme Court will now hear the matter on September 28.
