DBOD.NO.FSC.BC. 42/24.47.001/2003-04 November 5, 2003 All scheduled commercial banks
(excluding RRBs & LABs) Dear Sir, Stockinvest Scheme Please refer to our circular FSC.BC.61/24.47.001/98 dated June 23, 1998 in terms of which banks were advised that they need not refer the Stockinvest Scheme to us before introduction and the Scheme could be introduced with the approval of their Board and subject to the terms and conditions governing Stockinvests as advised by us from time to time. 2. The scheme has been further reviewed by us. It is observed that the use of Stockinvests as a mode of payment for application for allotment of shares/ debentures in the primary market has declined substantially. Moreover, several measures have been taken by SEBI for bringing down the allotment period under primary issues, which have considerably reduced hardships caused to the investors on account of delay in the allotment process. In view of these reasons, it has been decided that the scheme need not continue any longer. Accordingly, the Stockinvest Scheme may be treated as withdrawn with immediate effect. 3. Please acknowledge receipt. Yours faithfully, (B. Mahapatra)
Chief General Manager |