A total of 1900 crores of Himachal government and people of the state were trapped in the bank

(PTI) Shimla, Ta. March 12, 2020, Thursday

Himachal Pradesh government and its people total Rs. 1900 crore has been trapped in the financial crisis, Yas Bank said in the Legislative Assembly.

In a statement during a questionnaire during the budget session of the Legislative Assembly, Thakur said in the Legislative Assembly that the state government and the public deposited Rs 1909 crore in 32,000 accounts of 9 branches of Yes Bank.

He said that crores of crores of rupees from the state government, HP Cooperative Bank, Kangra Central Cooperative Bank, HP Infrastructure Development Bank, HP Power Transmission Corporation and Dharamshala Smart City Project have been trapped in Yes Bank.

The Chief Minister further stated that these organizations started depositing money in Yes Bank before the present Government came into power on December 27, 2017. Thakur said in the Legislative Assembly that the Central Government is reviewing the status of Yes Bank and the Central Government has appointed former CFO of SBI as the Yes Bank Administrator.

SBI to raise Rs 7500 crore in Yes Bank: other financial institutions to be included

Mumbai, Ta. 12

The Executive Committee of the Central Board of State Bank of India (SBI) has given a green signal to Yes Bank's proposal to buy 725 crore shares at Rs 10 per share. This means SBI will currently invest Rs 7500 crore in Yes Bank.

SBI's shareholding in Yes Bank will remain within the limit of 49% after the restructuring, according to a listing sent to the stock market by SBI. However, regulatory approval has to be obtained for the purchase of shares.

On March 5, the Reserve Bank superseded the board of Yes Bank and placed it in the Maatorium for a month. SBI cannot reduce its holdings below 26% for three years.

Groups such as ICICI, HDFC, Axis and Kotak are also reported to be pushing SBI to resurrect Yes Bank.

The SBI wants to be careful that the bank has enough capital to sustain the bank in case the withdrawal increases after withdrawal of the moratorium from Yes Bank.

Domestic financial institutions are eager to invest money in Yes Bank, but there is still no clarity on who will invest the capital. The results of the fourth quarter of the bank will be announced at Yes Bank meeting on Saturday.