RBI Asset classification norms say that Advances guaranteed by Central Government should be classified as NPA till invoked guarantee is dishonoured. In case of claim to be lodged with ECGC or CGT guarantee, the bank are required to take Sarfaesi recovery action under 13(2) and also 13(4) before claim can be lodged.
In this case the bank have no inclination to get into debt restructure or rehabilitation measures especially for SSI units and straight away invoke sarfaesi immediately after NPA and lodge claim. As far as i know, this is a regular practise followed by banks and this kills the SSI units and these are cases of bank inducved sickness.
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