RBI pulls up IFCI for poor supervision

INDIA - The Reserve Bank of India has come down heavily on the Industrial Finance Corporation of India (IFCI) for poor supervision of its loan portfolio, lack of proper asset liability management (ALM), rollover of sticky accounts and improper asset classification.

In its inspection report for 1999-2000, which was finalised recently, RBI has said that the financial institution had understated the level of non-performing assets (NPAs) on account of under-provisioning. It said that the ratio of