Is India’s Rs.35 Lakh Crore NPA Story a Cover-Up or a Crisis in Plain Sight?

New Delhi —– Let’s give a statutory warning at the outset, because by the end, you’ll have a question: Did the government really cover up the 35 lakh crore rupees withdrawn from banks?

That is, after withdrawing money from banks within this country, they kept giving it to the big businessmen and corporate houses doing business in this country, numbering in the thousands and millions. And when the time came to return the money, no one could. Some closed their companies. Some declared bankruptcy. Some moved towards mergers. And amidst all this, even the flourishing industries came under pressure to sell their companies.

And gradually, the corporate sector shrank. The number of people doing business shrank. Even those who owned their own companies until yesterday gradually joined other large companies and began working as partners in them. But the question is about the money within this country, the money that drives the economy at such a pace. Someone will surely ask, who prints so many notes? And when so many notes are printed, how do the biggest businessmen of this country escape with sacks full of notes? You yourself release a list and claim that you have recovered so much from them.

The situation has become so critical that the fugitives who took money from the banks now say, “You have recovered much more money than us. Even after that, you are not satisfied.” That is, they are blaming the government. And when the matter reached the court, the court said, “First, return to India, and then we will consider your claims.” There is not much confusion. Standing at each step, let’s understand the reality of this country today.

Where this question really stands?. The manufacturing sector of this country, employment within this country, industry within this country—why aren’t all these things flourishing? Why aren’t they accelerating? So, let’s start by noting that in the last five years, approximately 242,268 private companies in this country have closed.

Yes, more than 200,000 private companies have closed, and the government has itself disclosed this information. But when the government was asked in Parliament, when so many companies have closed, where have the people working in them gone? Do they have any work left? The government said, “We don’t know. We can’t take responsibility for this because they were shareholders in private companies, and so many companies have closed.

Accept this.” The government was also asked, “How many registered companies are there in this country?” The government has calculated that there are over 2.8 million companies. How many of those companies are active? The government said that no more than 1.8 million companies are active. So, the question arises: is there really a reason for the 200,000 companies that have closed down in the last five years? The government said, “Look, the companies have merged.” The companies actually present their records to the government. “They stopped providing records. That means their business wasn’t doing well. Their profits plummeted.” So, did they take out loans? They did. They didn’t repay the loans. So, was there any recovery from them? How was that recovery done? Did they declare themselves bankrupt? Absolutely.

Some are at the doorstep of the IBC, some are at the doorstep of the NCLT. Everything is happening in this country. And from 2016 to 2025, approximately 45 to 48 lakh crores of rupees have left the banks and disappeared. The government itself has reported that the amount recovered is actually more than ₹15 lakh crore. If it’s not more, then how much money has been withdrawn from banks and hasn’t been recovered? It must be around ₹30 to ₹35 lakh crore, and it could be even more. Now, let’s get to the real game. This game is so dangerous because India has stood before the world as a market. Money is withdrawn from banks. Companies close. The government turns a blind eye, and the corporate sector is being transformed into a single effort to hand over all the companies to a few hands. In 2022-23, the highest number of companies in this country—83,452—closed in a single year. In 2024-25, the previous year, fewer companies closed than that. Approximately 20,365 companies closed. But when you start to track this entire pace, 64,000 companies closed in 2021-22 as well. Now, there are two big questions here. Does the government really have no responsibility?

And in the cases that came out of this and reached the NCLT, a game of 48 lakh crore rupees, 35 lakh crore rupees were lost, and the process of compensating this by writing off and giving some money to the banks began.

Let’s move forward step by step. Before that, understand one more thing: NCLT was created to handle sinking companies and IBC was created. IBC says that it provided Rs 26 lakh crore in aid to debt-ridden companies, and that aid means helping them resolve them. Of the 2.6 million cases that came to us through the companies, 1,200 involved 12 lakh crore rupees and approximately 3,000 cases involved 14 lakh crore rupees, which the NCLT was resolving. This was between 2016 and 2025. Now you’ll start wondering, which companies were they, which sector, how much money the bank lost, and how much was lost. So, we think we should start the discussion with SBI today. We should start with SBI because the documents provided by SBI and the study conducted by our team revealed that from 2016-17 to 2023, the government wrote off ₹1,415,155 crore of SBI’s money.

The recovery was only 17,584 crore rupees, and what’s more, the haircut on all this between 2017 and 2023 was approximately 83,637 crore rupees.

Now you might be beginning to understand how this government is so wealthy, and why its wealth has seen the number of beneficiaries across the country grow to over 500 million. That means, even if we subtract the Garib Kalyan Yojana, a significant portion of it still comes from the Mudra Yojana, under which the government has distributed approximately 34 lakh crore rupees. Because the government itself claims that it has distributed approximately 34 lakh crore rupees to more than 50 crore accounts across the country. Hearing all these figures, you might wonder what’s going on. How is this country functioning and how is it being run? So, to begin with, let’s first look at the statistics of SBI, the country’s largest public sector bank.

Indeed, seeing such a large amount, you might wonder: How much money does the bank lose? The government compensates for it. And what is the underlying truth behind the rapid growth of India’s economy in front of the world?

So, the underlying truth is that the government itself has revealed that the manufacturing sector’s growth is only 1.8%, which is significantly lower than before.

The mining sector has also declined.

The power sector has also declined.

If you look at industrial output, it has reached its lowest level in the last one and a quarter years.

It has reached 0.4%. Amidst all this, our coal production within India is also at a very low 3.7%.

This is the figure for this financial year from April to November.

Coal production has also fallen.

How to reduce stake in government companies?

And now if we include banks along with corporates, we are going to sell 6% of Bank of Maharashtra. The profit will be approximately Rs 2600 crore.

Stop here. The government will sell its 6% stake in Bank of Maharashtra.

A few days ago, the Finance Minister said, “We need big banks. Only then will the country be able to grow.” And big banks also mean mergers of banks. The government turned a blind eye to the mergers that were taking place.

The biggest reason for the closure of more than 200,000 companies was mergers between banks and private companies.

The government views them from two different perspectives. But even this won’t suffice. When the government came to power 11 years ago, the sectors it promoted were coincidentally the top six sectors: steel, construction, manufacturing, real estate, pharmaceuticals, and textiles. Later, food and beverages were also added. It was said that the companies that would come would see growth. If there was growth, give them loans. If you give them loans, they would repay the loans because the market is huge. India is now moving towards privatization in its infrastructure pipeline, and millions of crores of rupees will be invested in it, and a national pipeline for monetization and privatization has also been created.

But when the matter reached today, the information received through the NCLT and IBC itself revealed that a lot of money had been lost. For example, unlike the recovery that occurs in the steel industry, the amount lost is approximately 58%. The construction sector has lost 75% of its capital. The manufacturing sector has lost 77% of its capital. Real estate has lost approximately 72% of its capital. The pharmaceutical sector has lost 83% of its capital. The textile sector has lost 83% of its capital. This means that recoveries are minimal, and losses are increasing.

So, the NCLT compensation was introduced to ensure that industries and businessmen within India, corporates, and large industries, don’t face any difficulties. The government will find a solution. But no one thought that the solution would be to keep taking money and then put the company in a position of bankruptcy or merger. We’ll take care of the rest. Our rules and regulations will be followed. That is, take a private loan. If you don’t repay it, you could even face jail time. Even if you don’t return your credit card balance, you’ll be in trouble. Banks confiscate livestock and goats.

Cows and buffaloes are taken away from the village. If you take a loan for farming, things get complicated. But crores of rupees are being lost in this field. And why is no one asking? This question must be on your mind. NCLT has its own data. It raised some questions about its data. It itself stated that the top 10 bank defaulters, the top 10 large companies, had approximately 844,000 crores. Furthermore, it stated that the NPAs amounted to over 4 lakh crores. It also stated that more than 2,000 companies were standing at the door. What should we do? That means 200,000 companies have closed down in the last five years. If you look at it on a daily basis, 100 companies were closing down every day in this country, and now, more than 20,000 companies are at the NCLT’s doorstep in 2025. While we’re talking to you, take a look at these statistics.

A new question may arise in your mind. Should the biggest business in this country either run away after opening companies, taking loans from banks, and maintaining close ties with the government? Or has the government itself devised new ways to do this through new laws?

You won’t face any difficulty. And the meaning of ‘no difficulty’ is that the government’s law will prevail. That law will automatically determine your path. That company will be absorbed into another company. Another large company will join that company. For example, in the steel sector, the companies that took 58% of the bad loans didn’t repay them. Which company was that? And which other company bought that company? When you delve into this, you’ll find the top 20 largest corporations in the country, all of which have partnerships, shares, and partnerships with the government. And of these 20, 11 are from Gujarat. The rest are from other parts of the country. But let’s return to the same position where the real field, the diary, and the stage of this entire game is. Say what you want, because the Minister of State for Finance provided information in Parliament.

He said, and this was yesterday, the day before yesterday, meaning last week.

He said, “Look, as of October 31, 2025, 15 individuals in this country, whom we have declared as Fugitive Economic Offenders (FOs), have caused tremendous losses to nine public sector banks.”

How much damage? The government itself has said that a loss of ₹2,6645 crore has been caused to the banks. That’s good. Who is involved?

Vijay Mallya is included.

Nirav Modi is included.

Nitin Sandeshra is included.

Sudarshan Venkat Raman is included.

Ramanum Sekh Ratnam is included.

Chetan Sandeshra is included.

Diptee Sandeshra is included.

Pushpendra Kumar Vaidya is included.

Hitesh Patel’s names were clearly mentioned. They have fled and are not returning the money.” It was also said, “Look, if you add the NPA interest to the ₹2,645 crore that wasn’t returned, it would be approximately ₹31,347 crore.” Then it was said, “We recovered ₹19,187 crore of the money, which means that the total outstanding balance is ₹12,000 crore. If we accept the government’s statement, then a strange situation arose here. A case involving Vijay Mallya reached the Mumbai High Court.

Vijay Mallya said, “In fact, we’ve been overcharged. But just look at what the government mentions in Parliament and what the banks say, ‘So much of our money has been lost because of Vijay Mallya.’ Compare the two.” So Vijay Mallya’s lawyer presented the facts and said, “Look, the Finance Minister said in Parliament that 14,100 crore rupees have been recovered. 14,100 crore rupees have been recovered.” But the bank included a page in the bank’s document, stating that 100 crore rupees had been recovered. Now, there’s a discrepancy between the two numbers, and the number isn’t small. Where did 4,100 crore rupees go? This was the first question asked. The Minister of State, on his own behalf, told Parliament that, “No, no, they still owe 10,000 crore rupees.” The bank was asked how much was outstanding. The bank said 7,000 crore rupees. Then, a discrepancy of 3,000 crore rupees occurred. The bank is saying something different about the amount recovered.

The government is saying something different about the outstanding amount. The bank is saying something different about the outstanding amount. So, our team investigated whether the government had previously made any statements regarding recovery. It was revealed that in December 2024, they had said they had recovered ₹1,594 crore (1594 crore). In December, they said they had recovered ₹14,100 crore (141 billion rupees). There was a discrepancy in that as well. That means, documents kept in Parliament, the banks’ own documents.

And who is saying this? The person who absconded with the country’s banks’ money is saying, and the court is telling him to return to India. That person is saying he will return. We don’t know what will happen after that. Because of the way the government works, when it can’t match its old data with the new data in Parliament, the bank director changes, and the amount changes instantly. So, what’s the solution? No one has suggested a solution.

So, our team suggested that we should reexamine this NPA game and pull out year-wise data. When this data was pulled out, it was shocking because, as we mentioned to you, the NPAs themselves represent approximately ₹1 lakh crore, which the government itself said was yes, this much money was disbursed through NPAs in various ways. But our team worked out that if we just look at public sector banks, it’s approximately ₹13,21,260 crore. ₹13,21,260 crore is the situation of public sector banks over the past 10-11 years. And if we include private banks and foreign banks, it adds up to ₹16 lakh crore. Now, you might have some questions here, but first, look at the entire NPA data from the NCERT.

So, when this kind of politics is going on in this country, whether those who commit economic crimes should be caught or the government should be involved in the capital of economic crimes. This question must be bothering you now because the ED is after all those who fled this country. The Enforcement Directorate filed its own money laundering cases against everyone. Everyone fled the country. Those who fled are claiming from outside that they were overcharged. This is just one part. What is the other part? The other part is that for those who are not fleeing, we have made our own rules and regulations. You will not face any problem, there will be relief and concessions because we It’s said that there should be a minimum number of players in this country who have the ability to run it.

This means that all the talk about employment, the manufacturing sector, and the workers is nonsense. In the process of making money from money, when we open our markets to the world, the mining sector will inevitably decline because we are getting cheap coal from abroad. Similarly, tomorrow we will import grain from abroad. What’s the problem? Grain will come from Ukraine. It will be cheaper. We will turn the farmers here into laborers and put them into our programs that, from MNREGA to whatever we need within this country, move them in the direction we need. But what is needed? By criminalizing everyone, has a system been created where everyone is criminal and making money? This is a very difficult question. Everyone is criminal and making money. This is not true. Nevertheless, the Enforcement Directorate (ED) also provided this information in Parliament.

The Minister stated, “Look, the ED received 791 cases from 2014 to 2019, and 5,521 cases from 2020 to 2025. That means, the total comes to approximately 6,200 cases. 120 people were found guilty. The most important thing is that, for example, if you look at this last financial year, from April 24 to March 31, 2025, there were 775 cases. Only 15 were found guilty. Then there was the question of what happens if not a single person is found guilty in a single case, or if a single person is connected to a single case. Incidentally, among the 120 people found guilty, there are three dozen who were involved in multiple cases.” So this means that within this country, out of approximately 6,200 cases, in 6,000 cases, no one was caught.

Be it institutions, banks, companies, government agencies working to monitor banks, and bureaucrats working within these institutions.

Why not create a complete cycle? Everyone has power. Everyone has recourse. Everyone has freedom to commit crimes. And amidst all this, the government has a money printing machine. What will be left?

Only three questions will remain.

First question:

India is the only country in the world where, on average, more than 100 companies are closing down every day.

India is the only country in the world where the number of people who flee after taking loans from banks and the amount they have siphoned off, which the government officially presented to Parliament, is the highest. India is the only country in the world where even a fugitive criminal is citing government data and saying that you are providing false information. You are lying and that the data between the government and the bank cannot match.

India is the only country in the world where the amount of NPAs written off

to clean up the banks’ books is the highest in India compared to any other country in the world.

India is the only country in the world with the highest growth rate.