Fresh plea in SC challenging RBI's moratorium period

A fresh PIL has been filed by Maharashtra Chambers of Housing Industry(MCHI) in the apex court seeking direction on setting aside the RBI's March 27 circular allowing charging of interests on loan during the three month moratorium period. The organisation said that loans in the sector are worth hundreds of crores and the interests would burden them.

New Delhi: A fresh Public Interest Litigation has been filed in the Supreme Court seeking setting aside the 27th March circular of RBI which allowed charging of interests on loan during the 3 month moratorium period (now extended till 31st August) and gave relief only from not paying the EMIs.

The PIL, filed by Maharashtra Chambers of Housing Industry(MCHI), contends that during the lockdown people's incomes have been affected, some have been unemployed and are unable to earn livelihood and that in such case "imposition of interest during the moratorium will deafeat the purpose of lermitting moratorium on loans."

The organisation which deals with real estate, says that loans in the sector are worth hundreds of crores and the interests would burden them.

PILs regarding the same have been filed in the top court earlier also in which the court had issued notice to the RBI and sought its response/clarification over its circular.