26/08/2026
₹35,715 CRORE WRITTEN OFF — BUT WHO GOT THE LOANS?
Bank of Baroda has disclosed that it wrote off ₹35,715 crore in loans between fiscal years 2020–21 and 2025–26 involving borrowers whose outstanding dues were ₹100 crore or more. The figures were revealed in response to an RTI application filed by Pune-based activist Vivek Velankar.
Of the amount involved, the bank recovered only ₹9,946 crore—less than 28% of the total. Another ₹7,817 crore was effectively written off through “haircuts” during settlements with large borrowers.
But there is one crucial detail the bank has refused to provide: the identities of the borrowers.
BoB rejected the request for names by citing exemptions under the RTI Act, arguing that the information was personal and related to third parties, and that releasing it could amount to an “unwarranted invasion of privacy.”
Velankar has questioned this reasoning, particularly because several such cases have reportedly reached the National Company Law Tribunal (NCLT) in efforts to recover money from major or wilful defaulters. His argument is straightforward: if public institutions are pursuing large borrowers for unpaid dues, why should their identities remain hidden when thousands of crores are being written off?
The contrast with ordinary borrowers is difficult to ignore. When a retail customer defaults on a loan, banks have often used newspaper advertisements and other public notices to identify defaulters. Yet the identities of borrowers associated with far larger amounts remain protected behind RTI exemptions.
This is also not a new issue. Similar RTI requests and refusals involving Bank of Baroda have been reported since 2020, and the broader practice extends beyond a single bank.
Ultimately, large loan write-offs do not simply disappear. The financial burden can find its way back to customers through higher fees, lending costs and reduced confidence in the banking system.
The bigger question is not just how much money was written off—but why the public is being denied basic transparency about who received those massive loans.
