The plea stems from the fear of getting notices asking them to pay the higher levy retrospectively from July 1, 2017 - when India moved to the GST regime - instead of the 5% they paid till now. If levied retrospectively, the amount will be huge and unsustainable for these businesses.
Citi is expected to start bilateral negotiations and announce a formal winner in the next one-two months. None of the bidders have offered stocks, and have submitted all-cash bids. The first two are the most aggressive bidders and are the frontrunners.
The main features of such a framework could include relaxations in ownership and management criteria for these banks to make room for a wider pool of bidders such as nonbanking finance companies (NBFCs) that are owned by corporate groups.
Earlier, as a part of festive offers, the Bank of India had announced a 35 basis point reduction in its home loan interest rates and a 50 basis points in vehicle loan interest rates.
In a statement, the Reserve Bank said the bank had not complied with its directions on ensuring end-use of funds in borrowal accounts and classification of loans/ advances as non-performing assets, specific direction of RBI for ensuring that the bank's balance sheet and profit and loss account are signed by at least three of its directors.
The loans under the Credit Outreach Programme are over and above those sanctioned and disbursed under the various central government loan guarantee schemes, it added.
"The partnership aims to facilitate HDFC's home loans to customers, especially in unbanked and underserved areas with many of them having little or no access to finance, to fulfill their dream of owning a home. IPPB will offer housing loans through nearly 190,000 banking service providers (Postmen and Gramin Dak Sevaks)," it said.
The mandate is being sought based on an internal assessment by lenders led by UCO Bank that the promoters - the Kanoria brothers - allegedly diverted money borrowed from banks to infuse equity in the subsidiaries, the officials said.
"We do not foresee any capital requirement for lenders going forward. They all have plans to raise capital from the markets," said a government official, adding that this year allocation will be done by the end of March.
Fair trade regulator CCI on Monday approved HDFC Bank's acquisition of 4.99 per cent shareholding in HDFC ERGO General Insurance Company. In June, HDFC Bank had said its board has given approval to buy more than 3.55 crore shares in group firm HDFC ERGO General Insurance Company for over Rs 1,906 crore from the parent company Housing Development Finance Corporation (HDFC)
CSB Bank's net profit increased to Rs 119 crore in the second quarter ended September 2021 from Rs 69 crore a year earlier led by a 21% increase in NII profit into Rs 278 crore mainly due to a fall in interest expenses as cost of deposits fell to 4.30% from 5.18% a year earlier