bad debts will continue to haunt,

• The intention of RBI in introducing Marginal Cost based lending rate instead of the base rate now in vogue is to make the banks effectively transmit the monetary policy objectives and reduce the rates of interest on loans, but the banks and borrowers particularly the bad ones know how to hoodwink and continue to do what they have been doing in maintaining very high interest rate margin, lowering the deposit rates, favouring the borrowers they want and exploiting the innocent and quality borrowers. The man made bad debts problems will continue to haunt  unless and until the RBI the banks and the Government take stringent disciplinary action against erring defaulters,
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