Quantum of outstanding loans and advances from SBS - Rs 1,693.22 cr

Gangtok, 01 Aug: Chief Minister Prem Singh Tamang [Golay] today informed the Legislative Assembly that the total outstanding loans and advances given by the State Bank of Sikkim to private individuals and companies stood at Rs 1,693.22 crore in 14,116 accounts as on 19 July 2019. He further informed that a committee will be constituted soon to recover the loans. Mr Tamang, who is also the Minister for Finance Revenue and Expenditure Department, was replying to query placed by his son, MLA Aditya Golay Tamang, seeking details on the annual bad debts of the SBS from 1994-95 to 2019-20 during the question hour of the fourth day of the Budget Session 2019-20 on Thursday. He mentioned that as per the information provided by the State Bank of Sikkim, a total amount of Rs 23.76 crore has been written off/waived since October 2002 till date and records prior to October 2002 were not available. He also released the list of persons and companies whose debt and interests above Rs 10 lakh have been written off/ waived. The CM also furnished the list of total loans and advances and cash credit limit given by the SBS to the government of Sikkim and PSUs. He informed that total loans and advances and cash credit limit given by the SBS to the Government of Sikkim and Public Sector Undertakings was Rs 386.40 crore. Meanwhile, a total amount of demonetized Rs 1000 and Rs 500 currency notes deposited with SBS by account holders, including government revenue and tax payers, during the period of demonetization was Rs 70.73 crore, he informed. He also informed that total amount of demonetized Rs 1000 and Rs 500 exchanged at SBS was nil. Responding to a supplementary question posed by MLA Aditya Golay Tamang regarding the recovery of outstanding loans of the bank, the CM informed that the government has appointed a senior police officer as the Recovery Officer to recover outstanding loans and advances. He further informed that the government will also constitute a committee to recover these loans from the individuals and organisations.