• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Brand Quest
• The New Manager
• BL Club
• Smartbuy

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth
• Events 2007

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Our Bureau

Mumbai, Sept. 16 The Reserve Bank of India has issued a notice placing restrictions on the activities of the Indian subsidiaries of Lehman Brothers.

The RBI said on Tuesday it was issuing the instructions “in public interest and in the interest of financial stability”.

Lehman Brothers Capital Private Ltd, a non-banking financial company, would need the prior approval of the RBI before contracting any direct or indirect liability from any institution in or outside India or before making any foreign currency remittances.

The RBI also said that Lehman Brothers Fixed Income Securities Private Ltd, a primary dealer, cannot declare any interim dividend or remit any amount to its holding company or any other group company without its prior approval.

The RBI has also asked the primary dealer not to undertake transactions in government securities in the primary market.

According to the Website of the Securities & Exchange Commission, US, there are eight subsidiaries of Lehman Brothers in India.

More Stories on : Investment Banking | RBI & Other Central Banks | NBFCs

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Copyright © 2008, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line