Bizbits

The list of banks which will gain from the RBI move includes Vysya Bank, Bank of Madura, Bank of Rajasthan, HDFC Bank, Global Trust Bank, ICICI Bank, Federal Bank, United Western Bank, Nedungadi, Indus Ind Bank, Jammu and Kashmir Bank and Bank of Punjab. Besides, UTI Bank, Centurion Bank, IDBI Bank and TimesBank are slated to hit the capital market and get their shares listed this fiscal.

Banks in the private sector were earlier required to obtain prior approval of the Reserve Bank for approval of all type of shares like public, preferential, rights/special allotment to employees and bonus shares. quot;These instructions have been reviewed and it has been decided that in future banks whoseshares are listed on the stock exchanges need not seek prior approval of RBI for issue of shares except bonus shares. The banks should, however, comply with relevant regulations of the Securities and Exchange Board of India and seek their approval wherever necessary,quot; the apex bank8217;s directive said.

Action against dividend defaulters

NEW DELHI: NEPC India, Padmini Polymers, Inertia Industries, Modern Syntex and Rolta India are some of the companies which may incur the wrath of the department of company affairs for not paying the dividend to their shareholders even after an year of declaration.

The DCA is understood to have initiated efforts to shortlist such companies which have defaulted in the payment of dividends to shareholders. Sources said others which could fall in the DCA net are Lunar Diamond, K M Capital, Mahadev Corporation, Mahadev Industries and a company of the Mesco group.

Most of these companies are believed to have defaulted on payment of final dividend for financial year1995-96. Modiluft is learnt to have defaulted on the payment of the final dividend for financial year 1994-95.