Banks approach SEBI to scrap quarterly review
Mumbai: Listed banks, mainly public sector banks, have moved the Securities and Exchange Board of India (Sebi) to reconsider the provision of 'limited review' for quarterly results. The Indian Banks' Associtaion (IBA) has also taken up the issue with SEBI. Sources were quoted as saying that IBA has sent a letter to the capital markets regulator stating that review of every branch is not feasible, especially for larger banks.

IBA has, however, said that a 'limited review' could be carried out if it was not at the individual branch level. Banks, on the other hand, are for going soft on the quarterly review. They have urged SEBI to scrap the provision entirely. The RBI had asked all listed public sector banks to carry out quarterly review of their domestic operations, effective 30 June.
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Bankers will convene meet on Basel II agenda
Mumbai: The RBI will convene a meeting of banks before this year-end to assess implications of implementing of the New Basel Capital Accord (Basel II) by 2006-07. "Although the Basel document is still not final, the basic architecture is now set and the RBI in consultation with banks will evaluate the new framework and plan for the transition of India banks to Basel II," Shyamala Gopinath, executive director, RBI, said.

She emphasised that the timing, approach, and sequencing of Basel II, which seeks to align capital requirements of banks with their actual risks, will have to be closely tailored to Indian circumstances.
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Private banks should grow through M&As: Vasudev
Mumbai: "Private sector banks need to grow in size through mergers and acquisitions if they are to compete with public sector banks. Efficiency can only come through genuine competition," said C M Vasudev, executive director, World Bank.

Vasudev, who is here to attend a three-day FICC seminar on 'Indian Banking: Global Benchmark 2003, said the Indian banking sector is today largely dominated by public sector banks, to the extent of 75 per cent. James Hanson, World Bank senior financial policy advisor, said a key challenge for Indian banking is the large public sector unit presence.
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Indian Bank may recover big-time dues soon
Chennai: An impressive number of big ticket defaulters of Indian Bank (the Gemini group, MVR Industries, Binny and the HMP group) may settle their issues with the bank this year, sources were quoted as saying. The Gemini group (which has companies like Ravi Shankar Industries and Gemini Colour Labs) expects to bring on board an investor, Uru Patel, an NRI, who will bring in Rs 20 crore.

The money will be utilised for completing the construction of the half-done Gemini Commercial Complex in the heart of Chennai. Once the two-lakh-sq ft complex is fully built, parts of it could either be sold or rented out. In either case, the proceeds will go to Indian Bank. As per a compromise reached by the group and the bank in 2000-01, the bank should get Rs 123 crore.
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