The Hindu Business Line : `No out-of-court settlement with SHCIL'

IndusInd Bank has firmly ruled out the possibility of entering into an out-of-court settlement with Stock Holding Corporation of India (SHCIL) with regard to the court case related to Calcutta Stock Exchange.

The bank, indicated Mr Bhaskar Ghose, MD & CEO, is not interested in a settlement or in any form of out-of-court arrangement that may rashly bring an end to the matter.

The amount outstanding - NPA in its books - is Rs 24 crore, he said.

The issue (stemming from bouncing of cheques) has been a bone of contention between IndusInd Bank and SHCIL, a depository participant, for the past several years, ever since the so-called `March 2001 scam' on the CSE came to light.

"The matter is sub-judice and we do not wish to comment on it. But I believe we have a very strong case. We do not wish to go in for a settlement at this stage," Mr Ghose commented.

The bank, in fact, has scaled down its capital market-related activities somewhat in recent times, especially so after the CSE issue erupted, it is pointed out. The March 2001 scam had featured a number of leading CSE brokers.

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