Banks are willing to offload their stressed assets to asset reconstruction companies (ARCs) at discounts of about 30-40% of the outstanding amount, say bankers and officials from ARCs. Bankers say at these levels of discount, it is viable to make the sale of distressed assets as it offsets the provisioning and legal expenses that banks have to otherwise incur to maintain these accounts in their books.
After seeing negligible auctions of stressed assets in 2011-12 and for the most part of this financial year, the last two months have seen banks announcing a slew of auctions.

Source - http://www.financialexpress.com