Union Bank of India has rolled our first-of-its-kind stressed asset recovery automated solution (SARAS) intended to enforce securities, track recoveries as well as improve monitoring of stressed assets. Using this automated solution, the bank expects to accelerate the recovery of bad loans.
The automated system will fetch data from the websites of courts, registrar of companies as well as government agencies. The bank is also planning to link it to debts recovery tribunals and National Company Law Tribunal (NCLTs).
Ashok Chandra, the Chief General Manager of Union Bank said automation will be very helpful in dismissing errors and reduce the time taken to initiate recovery to a few days from months earlier. He further added, “Over the years we had found that a lot of time was consumed in filing cases for recovery, initiating the process, and then monitoring the cases. It wasted the productive time of staff and eroded the value of assets. In 2020, with the amalgamation of Corporation Bank and Andhra Bank, it was concluded that an automated system to track all these accounts will be very advantageous. We have now developed an automated model for willful defaulters, track the case with advocates, enforce collateral securities, and check valuations.”
