<h1>RBI Guidelines: Banks Must Follow Board-Approved Loan Recovery Policies, Utilize Legal Mechanisms for Asset Resolution.</h1> According to Reserve Bank of India (RBI) guidelines, banks must implement a board-approved loan recovery policy. Recovery mechanisms include filing suits in Civil courts or Debts Recovery Tribunals, and actions under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act. The Insolvency and Bankruptcy Code, 2016 facilitates time-bound resolution of stressed assets. Amendments to the Banking Regulation Act allow the government to authorize RBI to direct banks in insolvency processes. Public sector banks reported attaching and auctioning 1,77,614 properties, recovering Rs. 15,196 crore from 2014-15 to 2017-18. Data on gross loans of various banks as of December 31, 2017, is provided.