‘IDBI bank was handed over to us in poor shape’: Sitharaman counters Rahul Gandhi

NewsIndia NewsIDBI sale sparks round 2 of Rahul-Sitharaman clash; FM blames Congress for bad loans IDBI sale sparks round 2 of Rahul-Sitharaman clash; FM blames Congress for bad loans Edited by Abhishek Mishra / TIMESOFINDIA.COM / Updated: Oct 30, 2026, 14:31 IST - Sanjay Gandhi pressured the Central Bank of India over loans to Maruti.

- B. Janardhana Poojary, MoS Finance under Indira Gandhi and Rajiv Gandhi — pressured bank employees to issue loans in the 1980s. - Pawan Kumar Bansal, as a minister in the UPA, pressured Canara Bank to give loans to his family-linked businesses," she posted.

Watch ‘Hosted at Amit Shah’s Residence’: Rahul Questions Nirmala Sitharaman Over Tata Group Dispute Sitharaman also accused previous administrations of pushing IDBI bank to extend loans to large business groups with alleged links to Congress leaders.

She named Videocon, Winsome, ABG Shipyard and Kingfisher, saying the loans later turned into non-performing assets (NPAs) and caused huge losses to the lender."The IDBI Bank was handed over to us in poor shape, as IDBI itself was forced to lend to large business groups with close connections to @INCIndia leaders such as Videocon, Winsome, ABG Shipyard, Kingfisher, etc.

These turned into bad loans, causing huge losses for IDBI Bank, which we recognised," she added.The finance minister also cited a series of historical controversies to support her argument, including the 1957 Mundra scandal, the removal of State Bank of India chairman RK Talwar in 1976, alleged pressure over loans to Maruti and instances of political interference during the 1980s and the UPA era.Rahul Gandhi backs IDBI Bank employees Earlier on Friday, Rahul Gandhi extended support to IDBI Bank employees amid protests by bank unions and political parties against the Centre's decision to sell its stake in the lender.In a post on X, the Congress leader shared a letter addressed to the IDBI Bank family, criticising the government's move and contrasting it with the bank's establishment during the Congress regime."During Congress's time, IDBI was established—to build the nation's industry.

During Modi's time, first the bidding was seen, then the price was set," he said. "During Congress's time, banks were being created. During Modi's time, they are being sold. I stand with the employees of IDBI Bank," Rahul added.The Centre had said a day earlier that the proposed stake sale was part of a "strategic restructuring".

It maintained that the process followed the provisions laid down in the request for proposal (RFP) and was undertaken after approval from a panel of secretaries and the Cabinet Committee on Economic Affairs.Join conversation InsightfulAgreeDisagreeSkepticalConcerningPromisingWorth ReadingBig Development The latest exchange marks the second round of sharp exchanges between Rahul and Sitharaman in three days.

The two had first traded barbs on Wednesday over the boardroom battle at Bombay House, with Rahul accusing the government of allowing the Tata Group to be "criminally destroyed".Rahul had taken to X to criticise the developments at the conglomerate, saying, “Tata is being criminally destroyed, and no business leader dares say a word.

How long will you stay silent? Until they own you? Indian business is not Modi and Shah’s plaything. You lack courage. We don’t. We will ensure justice for these crimes,”Within hours, Sitharaman hit back at the Congress leader, saying, “Being the LoP (leader of opposition in Lok Sabha) Rahul Gandhi, I suggest you refrain from politicising every issue.

Also, casually labelling commercial and legal matters as criminal is unacceptable,”She also accused the Congress of harming the interests of Indian business.Poll Do you think selling the government's stake in public sector banks benefits the economy?

Get the latest India News and Live updates. Download the TOI app. Abhishek Mishra is a Digital Content Producer at The Times of India, working with the news desk. He writes with a keen eye on foreign policy, defence developments, and the shifting currents of geopolitics-and yes, Indian politics always finds a way onto his radar too.

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