UCO Bank to refund Rs 4,000 crore to IPO applicants
Bangalore: UCO Bank will refund nearly Rs 4,000 crore to applicants who had bid for the bank's IPO last month, according to its CMD V P Shetty. "We will retain only Rs 240 crore. The rest of the approximate Rs 4,200 crore collected is being refunded." The bank's initial public offering for 20 crore equity shares of Rs 10 each at a premium of Rs 2 per share, aggregating Rs 240 crore, was oversubscribed 17.5 times.

He said the issue was oversubscribed 12 times by retail investors and 26 times by institutional investors. "The allotment was made through a lottery, and all the applicants may have not got the shares." The issue opened for subscription on 3 September and closed on 10 September. The scrip is to be listed on the stock exchanges on 9 October. After the IPO, the bank's equity capital would go up to Rs 799.36 crore, and government holding would reduce to 74.98 per cent.
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RBI project for cheque clearance truncation
Mumbai: The Reserve Bank of India has undertaken a pilot project to truncate cheque clearance by eliminating physical movement of cheques. "We are toying with the idea of implementing the pilot project in New Delhi, we will later extend it to more cities," a senior RBI official was quoted as saying. Cheque truncation by way of which both outstation and local cheques will take merely one day for funds settlement. Currently, outstation cheques take over a week or more in some cases for settlement.

Cheque truncation is one of the ways to compress the clearing cycle to provide faster clearances of local and inter-city cheques. Cheque truncation, very loosely defined, is the process in which the physical movement of cheque within a bank, between banks or between banks and the clearing house is curtailed or eliminated, being replaced in whole or in part, by electronic records of their content (with or without the images) for further processing and transmission.
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HSBC hikes Kopran stake to 10%
Mumbai: HSBC Financial Services bought 13 lakh shares of Kopran through the open market route on 24 September 2003.

According to a release issued to the National Stock Exchange today by Kopran, the stake of HSBC, post-buy, has moved up to 10.01 per cent.
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