Japan Hot Stocks-Banks, Komatsu, Seven & I, Japan Tobacco, JAL

TOKYO, Oct 1 (Reuters) - The benchmark Nikkei average fell 1.4 percent and the broader Topix fell 1.6 percent on Thursday. The following stocks were on the move: **BANKS SINK ON GROWING WORRIES ABOUT NEW LOAN POLICY** Banking shares slid after the Nikkei business daily reported a proposed debt relief plan for small and midsize businesses would have the government essentially shouldering interest payments to financial institutions on behalf of borrowers while loan repayments are put on hold