SBI loan to Adani: CPI asks RBI to intervene in the matter
22 Nov 2014 5:47 AM IST
After Congress questioned the logic of the $1 billion loan to the Adani group, CPI on Friday joined issue demanding RBI’s intervention in the matter.
Congress had questioned the decision of State Bank of India to give USD one billion loan to Adani group for the development of Carmichael coal mine during Prime Minister Narendra Modi’s just concluded visit to Australia.
Dismissing it as ‘mere technicality,’ CPI refused to accept the defence of the SBI that it had only signed an ‘MoU’ with Adani group and that the loan will be advanced only after ‘due diligence’.
CPI general secretary S Sudhakar Reddy told reporters here that ‘it is a mere technicality, they (SBI) did not say no and that we have not decided..They only said the final decision will be taken by the board.’ Stating that the decision of the board of directors was needed, Reddy said the ‘decision has been taken and the decision needs technical sanction.’ ‘When such a big amount is advanced, naturally the board has to take a decision. It is, however, only a technicality.’
Congress had questioned the decision of State Bank of India to give USD one billion loan to Adani group for the development of Carmichael coal mine during Prime Minister Narendra Modi’s just concluded visit to Australia.
Dismissing it as ‘mere technicality,’ CPI refused to accept the defence of the SBI that it had only signed an ‘MoU’ with Adani group and that the loan will be advanced only after ‘due diligence’.
CPI general secretary S Sudhakar Reddy told reporters here that ‘it is a mere technicality, they (SBI) did not say no and that we have not decided..They only said the final decision will be taken by the board.’ Stating that the decision of the board of directors was needed, Reddy said the ‘decision has been taken and the decision needs technical sanction.’ ‘When such a big amount is advanced, naturally the board has to take a decision. It is, however, only a technicality.’
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