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The Government of India has today
sanctioned the Scheme for the amalgamation of The United Western Bank Ltd. with
Industrial Development Bank of India Ltd. The amalgamation will come into force
on October 3, 2006. All the branches of The United Western Bank Ltd. will function
as branches of Industrial Development Bank of India Ltd. with effect from this
date.
Customers, including depositors
of The United Western Bank Ltd., will be able to operate their accounts as customers
of Industrial Development Bank of India Ltd. with effect from October 3, 2006.
Industrial Development Bank of India Ltd. is making necessary arrangements to
ensure that service, as usual, is provided to the customers of The United Western
Bank Ltd.
In accordance with the Scheme of
Amalgamation, Industrial Development Bank of India Ltd. shall make an upfront
payment in cash of Rs.28/- (Rupees twenty eight only) in respect of every fully
paid-up share to the members of The United Western Bank Ltd., who were, as on
the prescribed date, registered as the holders of shares of the bank, in partial
satisfaction of their claim in respect of their interest in such shares. Further,
in terms of the Scheme, if any surplus remains after meeting all the liabilities
out of the realisation of assets of The United Western Bank Ltd., the shareholders
may receive pro-rata payment after the prescribed period.
G. Raghuraj
Deputy General Manager
Press Release: 2006-2007/462 |