Panaji | April 01, 2015: Two hundred and ninety eight loan accounts belonging to truck, barge and machinery owners have been closed on Tuesday under the one time settlement scheme for mining-dependent people.

Speaking to TOI, directorate of mines and geology assistant director Parag Nagarsekar said that mining dependents have paid a total amount of 4.54 crore to corporation bank and state bank of India. Out of 298 beneficiaries, 268 loan accounts are with corporation bank and 30 loan accounts are with state bank of India.

He also said that under the OTS, the bank has waived the interest on loan from 2012 onwards and 40 percent on principal loan amount. The state government will pay 35 percent of the principal loan. The state government has received 529 applications under OTS.

The government had asked the banks to provide relief through OTS as assets of these borrowers had turned into NPA. Loans taken by around 8,000 owners of trucks, barges and other machinery are feared to have turned into a bad debt, and the state government has estimated the total loan exposure of the mining-dependent people to be about 1,000 crore.

(Source: http://timesofindia.indiatimes.com/)