SC dissatisfied with Centre’ response on loan moratorium

MUMBAI: The Supreme Court on Monday expressed dissatisfaction over the response filed by central government and RBI on the loan moratorium issue as the recommendation by the Kamat Committee and action on it did not feature in the reply.

The top court has sought specific reply from the Centre on the recommendations by Kamat Committee, which have been accepted and also queried, as to "how many of them have been put in the public domain?"

A bench headed by Justice Ashok Bhushan gave one week to the Centre to file an additional affidavit in the matter clarifying the implementation of the Kamat Committee recommendations.

The bench observed that the Kamat Committee recommendations and follow up action on individual sectors has also not been placed before it.

The bench said "Why was it not placed before us?"

Senior advocate V.V. Giri representing the RBI submitted before the bench

that decisions have been taken at the highest level and the government has assured hand-holding of small borrowers.

The bench said no consequential orders, circulars have been issued by the Centre or Reserve Bank of India to enforce the decisions.

The bench allowed the Centre and RBI to file additional affidavit on policy decision, and scheduled the next hearing in the matter on October 13.