Govt issued 83 LOCs against loan defaulters

Govt issued 83 LOCs against loan defaulters

File picture of Nityanand Rai. (PTI)

As many as 83 Look Out Circulars have been issued by the government against promoters of companies who have defaulted on their bank loans, preventing them from leaving the country, Union minister Nityanand Rai said on Wednesday.

Speaking in the Rajya Sabha, the Minister of State for Home maintained that immigration authorities can detain as well as prevent any person, including a willful defaulter, from leaving the country against whom a LOC has been issued.

"The Bureau of Immigration has opened 83 LOCs till now at the behest of banks," he said in reply to a written question.

A lookout circular can be opened by the Bureau of Immigration in respect of Indian citizens and foreigners on the request of an authorised originator, which includes an officer, not below the rank of Deputy Secretary to the Government of India or an officer not below the rank of Joint Secretary in the state government.

District magistrates or superintendents of police or designated officers of various law enforcing and security agencies or designated officers of Interpol or chairman and managing director or chief executive of all Public Sector Banks, or as per directions of any criminal court in India, can request for issuance of LOC, the minister informed the House.