New Delhi, March 10: The Centre has announced that individuals who seek loans of Rs 50 crore and above must furnish their passport details. Financial Services Secretary Rajiv Kumar said that the move was taken to ensure swift action in case of any fraud.
He said Passport details will help banks to take timely action and inform the relevant authorities to prevent fraudsters from fleeing the country.
Last week, the Cabinet has approved the Fugitive Economic Offenders Bill to impound and sell assets of escapees with a view to quickly recover dues.
The proposed law will also apply to defaulters who have an outstanding of Rs 100 crore or more and have escaped from the country.
Several big defaulters like Nirav Modi, Mehul Choksi, Vijay Mallya and Jatin Mehta have fled the country putting the recovery mechanism in quandary.