MONEY & BANKING


In a decision likely to have a major impact on insolvency proceedings, the Chennai bench of the National Company Law Tribunal (NCLT) has said that any lender with vested interest in, or having relations with, a corporate debtor should not be part of the committee of creditors (CoC) in a...

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The Madras High Court has observed that the employees of Reserve Bank of India (RBI) cannot be referred to as "government servants" while identifying their employment status.   The Division Bench, comprising of Justice K.K. Sasidharan and Justice P.D. Audikesavulu, said: "The fact...

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Moneylife Digital Team 12 April 2019
The much-hyped loan in 59minutes scheme announced by prime minister Narendra Modi on Diwali last year has been found providing loans for less than 50% of applicants, reveals replies received under the Right to Information (RTI) Act. In fact, Indian Bank has rejected as many as 77% of...

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Signalling credit offtake, Reserve Bank of India data have shown banks have ended the 2018-2019 with record double digit disbursals for the second year consecutively after the under-5 per cent in FY17, which was the lowest in five decades.   According to the RBI data released on...

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Moneylife Digital Team 11 April 2019
Standard Chartered PLC says it has agreed to pay USD947 million as monetary penalty to US agencies and other 102 million pound to UK Financial Conduct Authority (FCA) to settle cases related with money transfer to Iran during the sanction period.    In a statement StanChart says, "The...

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Naresh Goyal, founder of the now cash strapped Jet Airways, has pledged 26.01 per cent stake in Jet as security for loans from the Punjab National Bank (PNB).   The company told in a BSE filing on Thursday that Goyal had pledged 2.95 crore shares or 26.01 per cent of his stake in Jet...

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Lenders of the debt-ridden Jet Airways on Wednesday tweaked the terms for stake sale in the airline and also extended the submission deadline for "expression of interest" bids from prospective buyers.   As per a clarification document issued by investment banking major SBI Capital...

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Moneylife Digital Team 10 April 2019
The Delhi High Court on Wednesday asked Reserve Bank of India (RBI) and Google India Digital Services Pvt Ltd to file their replies on a plea alleging Google Pay is not listed as an authorised operator in RBI's list of the 'payment system operators'. The petitioner has sought direction to the...

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Moneylife Digital Team 09 April 2019
State Bank of India (SBI) has decided to reduce its marginal cost of funds-based lending rate (MCLR) by five basis points (bps) across all tenors from 10 April 2019.    The new one year MCLR will coming down to 8.50% from 8.55% per annum. As a result, interest rates on all loans...

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India has retained its spot as the world's top remittance recipient with its diaspora sending $79 billion back home in 2018, the World Bank has said in a report.   India was followed by China ($67 billion), Mexico ($36 billion), the Philippines ($34 billion) and Egypt ($29 billion),...

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In another setback for fugitive Indian businessman Vijay Mallya, the United Kingdom High Court has rejected his appeal against his extradition.   Mallya, who is facing charges of defaulting on bank loans to the tune of Rs 9,000 crore, fraud and money-laundering, had moved the High...

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Global private equity firm TPG Capital and international airline such as Lufthansa are among six entities who are believed to have shown interest in the "expression of interest" stake sale process of the debt-ridden Jet Airways, sources said.   The development comes as lenders of the...

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Moneylife Digital Team 08 April 2019
The Reserve Bank of India (RBI), now headed by bureaucrat Shaktikanta Das, seems to have succumbed to pressure from banks and has delayed its plan to link floating interest rates for retail loans to external benchmark.    Just in December last year, the central bank, then headed by Dr...

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Moneylife Digital Team 08 April 2019
C Sivasankaran, mentor of Siva Group of companies will be settling dues to IL&FS Financial Services Ltd (IFIN), says a report. IFIN had given a loan to Siva group, which are under the probe by Serious Fraud Investigation Office (SFIO). But more about it later.    According to the...

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Moneylife Digital Team 08 April 2019
Jet Airways (India) Ltd lenders led by State Bank of India (SBI) on Monday invited expression of interest (EoI) for a 75% in the debt-ridden carrier. The new buyer will also have to settle all existing debt of Jet Airways, as per a notice for inviting EoI.   In the notice on its...

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Citing the Rs 30,000 crore public deposits in Lakshmi Vilas Bank (LVB), the All India Bank Employees' Association (AIBEA) has demanded its merger with a public sector bank (PSU) than be acquired by Indiabulls Housing Finance Ltd (IBH).   In a letter to the Governor of Reserve Bank of...

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Moneylife Digital Team 05 April 2019
Private sector lender Lakshmi Vilas Bank Ltd on Friday said its board of directors have approves merger with Indiabulls Housing Finance Ltd. This merger, according to the lender, will give Indiabulls Housing Finance access to low cost deposits, and provide geographical diversification and...

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The Reserve Bank of India (RBI) on Thursday said it would set up a task force to study the international best practices and develop a "thriving" secondary market for corporate loans.   In its statement of developmental and regulatory policies released by the RBI after its first...

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The beleaguered Videocon group has admitted to stupendous outstandings to various lenders—public and private—amounting to over Rs90,000 crore, making it perhaps the biggest corporate bankruptcy case in Indian banking history, official sources said on Thursday.   The two main group...

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Moneylife Digital Team 04 April 2019
It now appears that as much as 90% of the loans advanced by IL&FS Financial Services Ltd (IFIN), the lending arm of the infrastructure conglomerate, Infrastructure Leasing and Financial Services Ltd (IL&FS) have turned bad. This again underlines the deep corruption and culpability of the...

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