Karnataka Vikas Grameena Bank (KVGB), a regional rural bank sponsored by Syndicate Bank, has settled 1,412 cases in the national Lok Adalat conducted between September 1 and December 5.
A press release issued by the bank said here on Friday that the Adalat was conducted as per the directions of the legal services authority.
Quoting Ashok Reddy, Chairman of the bank, the release said that the response to the Lok Adalat was very encouraging. In these cases, most of the dues belonged to farmers. The bank has extended concession in the rate of interest and also on the penal interest to customers who were willing to settle their dues, he said.
Out of 4,165 cases, 1,412 cases were settled. The amount involved in the cases settled was around ₹10.78 crore, and the bank was immediately able to recover ₹1.80 crore in cash. The remaining would be recovered in instalments as per the decisions taken in the Lok Adalat.
He said that the bank would be holding a separate Bank Adalat to find an amicable settlement for the remaining 2,753 cases.
Reddy said that getting the cases settled through Lok Adalats is beneficial to the borrower and to the bank as it is a hassle-free and time-saving exercise. The Adalat is done through mutual consent, he added.
KVGB has its branches in Dharwad, Gadag, Haveri, Belgaum, Bijapur, Bagalkot, Uttara Kannada, Udupi and Dakshina Kannada districts of Karnataka.