A #Supreme Court bench led by Justice Ashok Bhushan asked the banks to not declare accounts as #NPAs (Non-Performing Assets), due to nonpayment during the moratorium period.
The decision came on October 28, after the bench heard the petitions seeking interest waiver during the loan moratorium period. The next hearing is due for October 5, till then the status quo is to be maintained.
An unfavorable ruling over this ‘interest on interest’ issue will result in a loss of around Rs 10,000 to Rs 20,000 crore for the banks.
