The growth of the banking sector acts as an impetus for the economic progress of any country as they are interrelated. Although in India, regulators try to monitor the banking sector in a conservative fashion, not allowing too many risks to seep in but still the sector is exposed to its own set of challenges. The concurrent need is to find solutions to such problems. Non-Performing Assets (NPAs) remain one such burning issue. The objective of this study is to understand the underlying mechanism that paves way for high-profile NPAs. Ultimately, the result represented the decline in NPAs levels from 2018 to 2019. But the percentage of wilful defaults in gross NPAs is increasing and fraud cases are furthermore, on the rise. Hence grasping the gravity of the issue, this paper examines the trends of gross NPA, wilful defaults and frauds. To unravel the fundamental problem, we have analyzed the two massive cases of Kingfisher Airlines Ltd. and Firestar International Pvt Ltd. We have discussed how these scams took place with the core focus of lapses from the bank's side. We have analyzed those key failures to recognize the bank's point of view thereon. Besides this, we tried to find out the mistakes that can again cause banks to be hit by such massive scams. Some valuable recommendations are equally drawn in the preceding section of the paper.

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Keywords: NPA, Kingfisher Airlines Pvt. Ltd., Firestar International Pvt. Ltd., Willful Default, Fraud.