The Nashik District Central Co-operative (NDCC) Bank has decided to auction moveable and immovable properties of Malagaon-based Sandip Sudhakar Sonje Audyogik Utpadak Sanstha for defaulting on payment, amounting to Rs 66 lakh, ETRealty reported.
The bank has floated a tender for auction of the properties of the firm - a filtration plant located in Malegaon. The bidders will have to file their bids by 5pm on December 18. Moreover, the bank has also given an ultimatum of 30 days to the firm to pay the dues before the bids are opened or face auction of the seized moveable and immovable properties.
The NDCC is facing financial crunch due to non-payment of loans by farmers and firms. Now, the bank has started taking action against firms for defaulting on loan payment.
The bank had been given a crop loan target of Rs 1,250 crore in 2016-17, but it disbursed a total of Rs 1,719 crore - Rs 469 crore more than the target. However, the government did not provide funds for additional crop loan.
The recovery of Rs 800 crore from farmers was expected by March end, but recovery was only Rs 157 crore. Although the government has waived off farm loans it is yet to get waiver amount from the government.
