# Supreme Court: interest in suspense account part of recoverable debt 2026-08-12T22:01:43+00:00 | Governance | Indian Opinion Desk Corroboration: 1 independent outlet The Supreme Court on Wednesday held that interest accumulated in a separate suspense account after a loan is classified as a Non-Performing Asset remains part of the recoverable debt. A bench of Justice Sanjay Kumar and Justice Sanjeev Sachdeva allowed Punjab National Bank's appeal against an Orissa High Court judgment that had ignored this interest component. The case involved a Rs 5 crore loan sanctioned in 2011 to Shree Jyoti Education and Management Trust. After the account became NPA, the High Court accepted a PNB certificate showing Rs 31.99 lakh as outstanding and ordered settlement at Rs 29.55 lakh. The Supreme Court set aside that order, stressing that interest legally chargeable under the loan agreement and Section 2(g) of the Recovery of Debts and Bankruptcy Act cannot be excluded just because it is kept in a separate accounting head. ## Coverage - livelaw.in Tags: banking regulation, debt recovery, interest suspense account, NPA, PNB, Supreme Court Canonical: https://indianopinion.org/supreme-court-interest-in-suspense-account-part-of-recoverable-debt/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/supreme-court-interest-in-suspense-account-part-of-recoverable-debt/#story-in-brief Review state: restored archive article, accurate at time of publication, not offered to search indexes.