Govt must intervene halt merger of LKB with CBoP

Kochi, Sept 30: Expressing concern over the proposed merger of Lord Krishna Bank (LKB) with Centurion Bank of Punjab (CBoP), Dr Sebastian Paul, MP, today demanded the Centre's concrete intervention to stall it as it was detrimental to Kerala's banking interests.

Inaugurating a protest meeting of the United Forum of Bank Unions near the venue of the LKB Annual General Meeting (AGM) here, Mr Paul said the merger would adversely affect the interests of the common man and urged the authorities concerned to look into the matter.

Mr Chandran Pillai, MP said the government and Reserve Bank of India (RBI) should take steps to merge LKB with a public sector bank.

He said the proposed merger would only spell doom for the banking sector in the state as LKB gave utmost importance to social banking services.

Forum State Convenor V J John reiterated that the merger was not based on sound economic logic as CBoP had 73 per cent aggregate foreign holding and had posted huge losses in the last five years.

The forum, comprising nine unions in the state, was extending solidarity to the ongoing agitation of the unions of LKB.

DCC President K P Dhanapalan, Mr K Babu MLA, Mr A M Yousuf MLA and other leaders cutting across the political spectrum.

UNI