Interest calculation after npa

Hi

I need a little information fro mseniors here.

1. In case a bank declares an account as NPA and proceeds under SARFAESI, what is the interest that the bank can charge on the NPA amount?

2. In case, banks action under sarfaesi is found to be illegal and quashed by the court and the bank proceeds under arbitration, what amount can the bank claim now?

I have been told that as per a recent ruling from the Honble Supreme Court, only simple interest on NPA can be charged. Can someone please point me to the right direction adn give references to the judgements?

Thanks