Comments
The Hindi phrase ‘ halla bol ’ is usually associated with aggression. However, Mangaluru-based Corporation Bank is using it in a peaceful way to raise its voice against non-performing assets (NPAs) in the bank.
In fact, the bank’s ‘ halla bol ’ recovery campaign has started giving results with the lender making good recoveries in NPAs, including from written-off accounts, during the first quarter of 2018-19.
The bank made a recovery of more than ₹1,709 crore during Q1 of 2018-19 against ₹813 crore in the first quarter of 2017-18.
The recoveries from written-off accounts increased to ₹515 crore (₹71 crore) during the period. However, recoveries from written-off accounts was ₹318 crore for the whole of 2017-18.
Jai Kumar Garg, Managing Director and Chief Executive Officer of the bank, told BusinessLine that the bank’s ‘ halla bol ’ campaign was launched in 2016-17.
Under this, bank officials go to the borrowers whose accounts have become NPAs, and discuss why the borrower is not paying and what could be done about it. Steps such as one-time settlement and restructuring are initiated based on the requirements.
Stating that ‘halla bol ’ is being done in a peaceful manner, he said this effort has given a lot of dividend on the recovery front. The wholehearted involvement of the rank and file of the bank has helped achieve success in this initiative. Barring a few stray cases, even the borrowers are responding positively.
Asked about the success rate, he said it is difficult to identify the success rate for every campaign. He said the total recovery of the bank was ₹1,590 crore in 2015-16. It increased to ₹3,300 crore in 2016-17 and to ₹4,500 crore in 2017-18. Giving the latest figures, he said the bank’s recovery in NPA accounts stood at ₹2,031 crore till August 8 of 2018-19 against ₹1,062 crore in the corresponding period of the previous fiscal.
Clarifying that ‘halla bol ’ is not aimed at the borrower, he made it clear that it targets NPA accounts. If the borrower comes to the branch, the bank respects the borrower and listens to him. “The borrower tells his problem, we tell our problem, and then a solution will come. We are not against the borrower. ‘ Halla bol ’ is against the NPA account and not the borrower,” he said.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.