NEW DELHI: Those who have the capacity must return their bank loans in the larger interest of the country, PNB Managing Director Usha Ananthasubramanian said today after the bank declared the promoter of defunct Kingfisher Airlines Vijay Mallya , as a wilful defaulter."When people have the wherewithal to pay, they must pay. There are people who have money yet they don't want to pay," she said when asked about steps being contemplated by PNB to recover money from Kingfisher and deal with the problem of wilful defaulters.Punjab National Bank is the third public sector lender to declare the beleaguered air carrier and its two guarantors - United Breweries (Holdings) Ltd and Mallya - as wilful defaulters. Earlier, United Bank of India and State Bank of India had done the same."Wilful defaulters also blocks your (banks as well as general public) access to finance," Ananthasubramanian told PTI.The bank has already invoked all the recovery mechanisms like Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest ( SARFAESI ) Act with regard to Kingfisher, Mallya and United Breweries (Holdings) Ltd, she said."We have also filed recovery suit in the DRT (debt recovery tribunal) and all the legal steps have to be taken," she added.PNB is a part of consortium of 17 banks with exposure of Rs 800 crore to now grounded airline. The airline had taken Rs 6,900 crore from the consortium led by SBI in early 2010 after a second debt restructuring for the airline.Wilful defaulter tag has given after a due process, the PNB chief said, adding that as per the Delhi High Court order, these defaulters were allowed to be represented before the Committee constituted by the bank through their legal representatives."After hearing the representatives, the Committee declared them as wilful defaulters as per RBI guidelines," she said.As per RBI guidelines, once declared as wilful defaulters, no additional facilities will be granted to these borrowers by any bank or financial institution.Besides, such companies and promoters) will be debarred from institutional finance for floating new ventures for a period of 5 years from the date of removal of their name from the list of wilful defaulters.As part of the recovery process, the SBI-led bank consortium has decided to auction Kingfisher House in Mumbai next month.SBICAP Trustee Company Ltd, which took possession of the property last year, will do e-auction of the 2,401.70 square meter property on March 17.The Trustee Company has kept reserve price of Rs 150 crore and the bid increment amount is Rs 5 lakh.