Big corporate defaulters: Videocon, Jindal Steel, Shakti Bhog expected to figure in RBI's second NPA list

The Reserve Bank of India is reportedly preparing a second list of companies with outstanding loans, which will be handed over to the National Company Law Tribunal (NCLT). Insolvency proceedings will be initiated against around 30 to 40 corporate defaulters who are expected to feature in this list, a report by The Economic Times said.

This new list by the RBI is likely to include JP Associates, the parent company for Jaypee Infratech, along with Videocon, Jindal Steel, Shakti Bhog, Visa Steel, IVRCL, Castex Technologies, and others, the report stated. Most of the large corporate defaulters in the list are expected to belong to power and infrastructure sectors. Nagarjuna Oil, Ruchi Soya, Uttam Galva, East Coast Energy, Asian Colour, Ispat Coated and Unity Infraprojects, among others. The list is likely to be released by September, the report said.

Out of the 30 to 40 accounts expected to have their names on the defaulters' list, the State Bank of India alone is the lender in case of 25-26 accounts, another report stated. The RBI might advice the lenders to take these defaulters to NCLT for starting insolvency action against them under the Insolvency and Bankruptcy Code.

Meanwhile, Videocon shares declined three per cent to end at Rs 18.35 after reports spread. On the other hand Jindal Steel fell 2.5 per cent to Rs 132.45 after the company's stock rose by 10 per cent in the last three months. Visa Steel shares slid to Rs 19.90 after a 1.24 per cent decline, whereas Uttam Galva shares decreased by 0.56 per cent to Rs 26.70.

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