Bangalore: The Karnataka High Court on Thursday ordered issue of notices to the Reserve Bank of India (RBI), Central Bureau Investigation (CBI) and others on the appeals filed against an interim order passed by a single judge bench of the court directing merger of Amanath Cooperative Bank (ACB) with Canara Bank.
A Division Bench comprising Chief Justice D.H. Waghela and Justice Ashok B. Hinchigeri passed the order on the appeals filed by the former Union Minister C.K. Jaffer Sharief and others questioning the July 31 order of the single bench.
The appellants contended that they had sought a probe by the CBI into the affairs of the ACB as it was facing financial crisis due to irregularities. But the single judge, without considering their plea for probe and other aspects, had permitted the merger by way of an interim order, and thus their petitions had become “infructuous”.
“Amanath Bank is the only financial institute which is known for its minority Muslim status, loosing the bank, will be a great loss to the community,” says Sardar Ahmed Qureshi, President of Amanath Bank Share Holders and Depositors Protection Committee.
According sources close to Nasheman, Canara Bank has declined to take over Amanath Bank on 23rd of this month.
The Bench will hear all the appeals related to the issue of merger on October 16.
