New Delhi, Feb 10 (PTI) Samajwadi Party member Ram Gopal Yadav on Monday alleged that in the history of India there has been no bigger scam than the NCLT, which is incurring losses to banks and is benefitting only a few.

During a general discussion on the Union Budget 2025-26 in the Rajya Sabha, Yadav called for investigation into cases dealt through National Company Law Tribunal (NCLT) and claimed that he can give examples to Finance Minister Nirmala Sitharaman in a meeting with her in person that will surprise her.

"There has been no bigger scam taking place in the history of India compared to NCLT. It is incurring losses to banks. Benefitting few people," he said.

To explain his observation with an example, Yadav said in case a person has a debt of Rs 50,000 crore and owns a property worth Rs 2 lakh crore, the asset is auctioned only for Rs 40,000 crore.

"Then Rs 10,000 crore goes into haircut which is a loss of banks and a special person gets the property which was of Rs 2 lakh crore for Rs 40,000 crore. It is happening right under the nose of the Finance Minister and Finance Ministry. I would like to appeal through you (Rajya Sabha Chair) to investigate this matter and those who have purchased property through NCLT. What was the actual value and how much loss have banks incurred through haircut?" he said.

He appealed that there is a need to stop this corruption.

"I will personally, if the Finance Minister gives me time, give her such examples and she will be surprised to know what is going on," Yadav said.

Talking about the Budget, Yadav said there has been reduction in the allocation of funds for education, agriculture, health and infrastructure sectors that are important for "Viksit Bharat" with respect to percentage of GDP.

He said the allocation for agriculture was 2.7 per cent in last year's Budget that has come down to 2.5 per cent.

Yadav said the actual allocation may be higher by Rs 5-10 lakh or Rs 1 crore but he is comparing it with respect to last year's GDP.

He said the allocation for infrastructure, which is very important, was 3.4 per cent last year and has come down to 3.1 per cent.

"In health it is not even 2 per cent. It is 1.97 per cent while the target was 2.5 per cent. If 2.5 per cent can be achieved then out-of-pocket expenses can be reduced. Irrespective of what data says, there are 60 per cent people who have to pay from their pocket for treatment. It is very important," Yadav said.

He said 2-3 years ago experts informed him that 4-5 per cent people slip below the poverty line because of treatment expenditure.

Yadav also expressed concern on reduction in repo rate as it will adversely effect the health of banks.

"If we calculate then the reduction in repo rate will lead to a benefit of Rs 1,950 for us on a loan of Rs 50 lakh. People take lakhs of crores from banks. It will deteriorate the health of banks," he said.

Yadav said if the health of banks deteriorates then people will not like to opt for fixed deposits.

"If the situation continues then economists have apprehension that banks may go burst," he said.

DMK leader P Wilson said the Budget ignored Tamil Nadu.

YSR Congress Party S Niranjan Reddy said income tax cut worth Rs 1 lakh crore is a huge amount and those who are getting the benefit should plough it back into the Indian economy by buying goods that are manufactured in India instead of travelling abroad and buying foreign goods.

BJD's Sulata Deo cited India's ranking across several indexes, including hunger index, human development index, gender inequality, corruption perception, press freedom, etc, to express concern on the government's claim of "Amrit Kaal" and road to "Viksit Bharat".

She said the Budget has nothing much for Odisha and allocation has been made for states that have elections.

GK Vasan of Tamil Maanila Congress (Moopanar) -- TMC(M) -- said the Budget is the most middle class pro-budget in India.

BJP Shambhu Sharan Patel said Bihar only had one airport and the government led by Prime Minister Narendra Modi has given an additional airport to the state.

Congress member Rajeev Shukla said Bihar should be given special status and a method needs to be devised to improve the state's per capita income, which is the lowest in the country.

Patel objected to Shukla's remark and an altercation started among them.

Shukla said the unemployment rate has increased as the youth are sitting in villages and there is a need to bring them back to realise the power of manufacturing.

He said MGNREGA allocation was reduced by 33 per cent, which was one of the main sources for rural employment and brings them out of poverty.

Shukla said there is a need to increase expenditure on research, which in China is at 2.4 per cent of their GDP while India spends 0.7 per cent.

He expressed concerns on the dip in valuation of rupee and recalled the way Modi mocked former Prime Minister Manmohan Singh during his tenure on rupee devaluation.

He said the rupee value is falling because exports are reducing and foreign investors are pulling out their investments. PTI PRS TRB