Issue of CSB's rights shares stayed

Thrissur, Aug 13 (UNI) Principal Munsif A V Narayanan today stayed the issue of shares rights of the Catholic Syrian Bank, scheduled from August 16 to 29, in an interim injunction order today.

The bank had decided and advertised to issue 1.25 crore shares of Rs 10 face value each at a premium of Rs 110. The bank had aimed to raise Rs 123 crore through this.

The order of the Munsif was in regard to the petition by V O John, a shareholder of the bank against its Chairman R Venkitaraman and Company Secretary K P Mohankumar.

The petitioner had submitted that the rights issue violated the rules of the Company Act, to be obeyed compulsorily and it was against the interest of the common shareholders.

UNI