Restructuring vs settlement
If the business is viable, restructuring at Punjab National Bank (tenor extension, moratorium) is preferable. If the business has wound down, OTS gives a clean exit.
Typical OTS discount
Secured business loans usually settle at 55–80% of principal at Punjab National Bank; unsecured working capital lines settle deeper, around 35–55%.
Security release
Post-settlement, Punjab National Bank issues NOC and releases the secured property / hypothecated assets — handled end-to-end.
Process
Numbers review → restructuring vs OTS choice → proposal drafting → Punjab National Bank committee filing → negotiation → sanction → payment → NOC.