With barely 10 days to go for the Lok Sabha polls, the party’s Outer Manipur candidate K James has been accused of defaulting on a loan of Rs 100 crore borrowed by him in the capacity of Director and personal guarantor for a firm called M/S Northeast Region Fin Services Limited.
The cash credit loan was sanctioned by the Punjab National Bank which has now written to the Election Commission to bar James from contesting the Lok Sabha polls accusing him of being a willful defaulter.
In its letter to the Election Commission, the Punjab National Bank circle head also accused James of resigning from the company M/S Northeast Region Fin Services Limited earlier this month without informing the bank which it termed as a clear violation of the terms of the sanctioned loan.
The bank alleged that James resigned as the director of the firm to suppress the fact of availing loan. In the wake of the allegations the PNB has appealed to the Election Commission to bar James from contesting the Lok Sabha polls on national interest.
Acting on the complaint, the Manipur CEO’s office has written to returning officer of Thoubal district for taking appropriate action into the matter.
Meanwhile, the bank is also in the process of declaring James as a willful defaulter for failing to repay the loan even three years after the account turned into a non-performing asset due to non-payment of dues.
The bank notified that the total recoverable dues from the defaulter that is Congress candidate K James is Rs 116 crore. The bank had also field a recovery suit into the case at DRT, Guwahati on Dec 30 2017.