Chennai: In one of the largest sale of
bad loans
, state-owned
Indian Overseas Bank
has announced the sale of 92
NPA loans
with a collective value of Rs 13,471 crore. The bank has also made the list of non-performing accounts public, which includes Videocon, Lanco, IL&FS Financial Services, Jet Airways and Reliance Communications.
According to IOB’s list, Videocon Industries, Videocon Oil Ventures and Videocon Telecommunication collectively accounted for an outstanding book of Rs 1,486 crore as on March 31, 2024.
Next is a collective outstanding book of Lanco Infratech, Lanco Babandh Power, Lanco Resources International and Lanco Vidarbha Thermal Power at nearly Rs 1,283 crore. The bank called for expressions of interest from
asset reconstruction companies
and other lenders to transfer the NPA accounts offered on a portfolio basis in two lots through
e-auction
.
The first portfolio comprises 46 accounts financed under consortium arrangements, three accounts under multiple banking arrangements and the remaining two accounts being sole banking ventures, IOB said in a statement on Sunday.
Further, 38 accounts within the portfolio are formally admitted under the purview of NCLT, it added. The second portfolio consists of 41 sole banking accounts. It has set a reserve price on 100% cash basis of Rs 3,704 crore, which is 27.5% of the total value of the outstanding book that has been put up for sale. The bank is looking at completing the auction before the end of Q1 (April-June) of the current fiscal (FY25).
