Union Government must act decisively to get the country back on track by implementing a stricter vigil on large bank borrowing scams, GST on petroleum products and maintain a balance of trade of Iron Ore says key Infra Entrepreneur Laxman Jaiswal

Laxman Jaiswal, India’s leading Infra entrepreneur demanded stricter implementation of law to ensure return of borrowed money by the big corporate in India, he said, “the Central Bank, RBI, must exercise much more stricter vigil to stop high value corporate frauds, Over the last four years, loan frauds have amounted to Rs 77,521 crore across public and private sector banks, foreign banks, small finance banks, local banks and other financial institutions. In 2018-19, loan frauds accounted for 90 per cent of the total while in 2019-20, they accounted for 98 per cent of total scams. It is seen that these defaulters are appealing for scaling down the repayment amount by 30-40% and also asking for instalment repayments. The Banks and the Government must look into the personal net worth of the Company owners is more than the money owed this must be made part of the repayment amount. It is often through money laundering and shell companies that these unscrupulous borrowers swindle the loans into their personal assets. Personal net worth cannot be higher than the bank liability, “he says.

He also appealed that the Union Government must control the export of Iron ore from India; it is the backbone of the country and large scale exports are leading to shortage in the Indian market leading to an increase of almost 60% in prices despite a shrink in the GDP. The Government must ensure availability in the local market before exports.”

Finally he said that the Union Government must act unilaterally to bring petroleum products under GST overriding objections, if any, of State Governments. The unfettered increase in petrol, diesel, LPG prices is grossly affecting the common man and the Centre has to act now, otherwise it will pay a heavy price in the electoral battle in 2024, concluded Laxman Jaiswal, Chairman and Managing Director of Ascon Infra India Ltd, based in Kolkata, Bengaluru and Dubai.