The Stressed Asset Management Branch of Union Bank of India, Mumbai, sealed hotel LB located in Sadar on Friday. The Bank has also attached four other properties of the owners of Hotel LB.
As per reports, the directors of LB Group, Jaideo Panchmatia, Vijay Panchmatia and Shyamal Deo Panchmatia had taken a loan of Rs 80 crore from the bank in 2006.
In the year 2017, this loan account became a non-performing asset (NPA) due to non-payment of loan installments regularly. LB Group had appealed in the Debt Recovery Tribunal (DRT) to stop the bank’s action. But, on Friday the team of authorized officials of Union Bank sealed Hotel LB amidst police protection.