The Bank Employees Federation of India (BEFI) on Sunday came down heavily on the central government and the bank managements over accumulation of Non-Performing Assets (NPA) to the tune of R2 lakh crore.
Speaking at a state-level summit here, BEFI general secretary Pradeep Biswas said, "There are no serious efforts to recover the banks' money with the defaulting big corporates. Their assets should be confiscated."
"Our data also suggest that R50,000-crore NPAs are related to big borrowers who have borrowed over R10 crore and above. Why are the banks silent over this? This is public money," he added.
He said, BEFI will launch a nationwide campaign next month to create an awareness about the dangers of privatising PSU banks.
"The limit of private shareholding in nationalised banks has been raised to 49%. Now the private shareholders are demanding proportionate voting rights equal to their stake, which was earlier limited to just 1% and then increased to 10%. This is a very dangerous trend and is an indication that they want to establish their control over banks," Biswas said.
He said the banking industry survived through the global crisis when huge multi-national banks failed because they were not in private hands.