We negotiate Board-approvable One Time Settlement (OTS) proposals with J&K Bank, SBI, Punjab National Bank and other lenders active in Jammu & Kashmir (UT) — with sanction letter, No Dues Certificate (NDC) and CIBIL/CIC closure as the final deliverable.
This page is for general information. It is not legal, tax or investment advice. Every NPA / SARFAESI / DRT matter is fact-specific — speak to a qualified advisor before acting.
OTS outcomes in Jammu & Kashmir (UT) typically settle at 45–65% of the outstanding principal for viable secured exposures, with lower recovery bands for older, doubtful accounts. The exact discount depends on collateral coverage, J&K Bank/SBI recovery policy and the age of the NPA. J&K Bank and SBI publish periodic non-discretionary OTS windows; Punjab National Bank tends to negotiate case-by-case above ₹1 Cr.
Small NPAs (typically under ₹25 lakh) get sanctioned at the branch; mid-size at the circle-level SARB; exposures above ₹5–10 Cr usually go to Zonal Committee or Board. In Jammu & Kashmir (UT), J&K Bank's SARB sits at Srinagar (summer) / Jammu (winter) for larger exposures.
Case A: Srinagar-based Handicrafts MSME, J&K Bank exposure ₹1.8 Cr, NPA since 2022 — OTS approved at 52% (₹94 L) with 25% down and 9-month tail. Case B: Jammu-based Apple unit, SBI exposure ₹68 L, doubtful — OTS approved at 41% with 100% payment inside 90 days.
Common derailers: unpaid statutory dues (GST/PF/ESIC) that trigger wilful-defaulter examination; ongoing SARFAESI auction that reduces the bank's incentive to settle; wilful-defaulter tag under the July 2024 RBI Master Direction. Our diagnostic flags each of these before we file.
Writ jurisdiction seat.
J&K matters file at DRT Chandigarh; appeals go to DRAT Delhi.
Handicrafts & carpets; Apple growers; Hospitality & tourism; Retail trade
Auction / procedural note. Post-abrogation of Article 370, non-J&K residents can hold immovable property, but state land laws still apply — thorough diligence is essential.
