New Delhi: The Narendra Modi-led Centre on Tuesday informed the Supreme Court that the moratorium on repayment of loans can be extended by two years in line with the Reserve Bank of India’s (RBI) circular. Also Read – AGR Case: Supreme Court Gives Telecom Operators 10 Years To Pay Pending Dues, 10% to Be Paid By March 31, 2021
“We are in the process of identifying the distressed sectors to decide what kind of relief could be provided, as per the impact of the hit they have taken”, Solicitor General Tushar Mehta, appearing for the RBI and Centre told the SC, clarifying that moratorium is capable of being extended as per the circular. Also Read – Tweets Not Meant to Disrespect Judiciary, Will Pay Re 1 Fine: Prashant Bhushan on SC Verdict
He also informed the top court that the Centre has filed its reply on the powers under Disaster Management Act, and urged the court to allow Centre, RBI, bankers associations to sit together. Also Read – Photo of Prashant Bhushan Holding Re 1 Coin Goes Viral After SC Judgment, Triggers Meme Fest on Twitter
A bench headed by Justice Ashok Bhushan replied that it has been hearing about this meeting since past three hearings on the matter. Mehta then submitted that they will identify the class of borrowers.
To this, the bench said it wanted something concrete on the issue and insisted that it will have to take a decision on many other issues on the basis of its merit.
Mehta said the court can go through the affidavit and take up the matter in two days. Reacting to this, the top court asked whether a decision can be taken in two days?
Later, the bench said it would hear the matter and all the parties tomorrow.
Notably, the court was hearing a petition seeking direction in waiving off interest on interest during the moratorium period, due to COVID-19.
