PSU banks' exposure at Rs 10,000 crore in telecos hit by SC order
Public sector banks have an exposure of about Rs 10,000 crore in the telecom companies whose licences were cancelled by the Supreme Court in connection with 2G scam.
New Delhi: Public sector banks have an exposure of about Rs 10,000 crore in the telecom companies whose licences were cancelled by the Supreme Court in connection with 2G scam.
"The public sector banks have an outstanding loan of Rs 10,000 crore...of which Rs 7,500 crore is secured (against assets)", a senior Finance Ministry official said.
The Ministry, the official said, was seeking information about the collaterals against which the remaining amount of Rs 2,500 crore was provided to the telecoms which figure in the list of companies whose licences were cancelled by the Supreme Court yesterday.
The exposure of PSU banks in these telecom companies, he added, was "very much limited" in view of the overall asset size of the state-owned lenders.
The apex court yesterday cancelled 122 2G spectrum licences granted by former telecom minister A Raja on the ground that they were issued in a "totally arbitrary and unconstitutional" manner.
It had also imposed a fine of Rs 5 crore each on three telecom companies, which offloaded their shares after getting the licences and directed regulator Telecom Regulatory Authority of India (TRAI) to make fresh recommendations on allocation of 2G licences.
As far as individual lenders are concerned, State Bank of India said it had total exposure of Rs 4,500 crore in these telecom companies.
The other lenders including Punjab National Bank, Corporation Bank, Oriental Bank of Commerce too have exposure in these telecom companies.