In the affidavit, the Union Finance Ministry stated that a special meeting of the State Level Bankers’ Committee (SLBC) Kerala was held on August 19 last year. The meeting, which was also attended by Chief Minister Pinarayi Vijayan, decided to extend the applicable relief measures in line with the RBI’s Master Directions on Natural Calamities.
According to RBI’s master directions, in the event of a natural calamity, the financial relief measures to be adopted include the restructuring or rescheduling of existing loans-which would entail a one-year moratorium-and the provision of fresh loans.
The Centre had earlier informed a bench of Justices A K Jayasankaran Nambiar and Easwaran S that the proposed measures were limited to a moratorium and restructuring of loans availed by the landslide victims.
This submission was made during the hearing of a PIL initiated by the court on its own in the wake of the Wayanad landslides, aimed at improving disaster prevention and management in Kerala.
A major landslide struck the Mundakkai and Chooralmala regions on July 30 last year, almost completely decimating both areas. The disaster left hundreds injured, claimed over 200 lives, and 32 persons remain missing.