IDBI Bank has raised governance concerns over the exclusion of nominee directors from board meetings of New Tirupur Area Development Corporation Ltd (NTADCL) post-loan repayment. Despite provisions allowing their retention until all dues are settled, the directors were excluded, leading IDBI Bank to write to the Registrar of Companies (ROC). NTADCL, which underwent Corporate Debt Restructuring in 2011, excluded IDBI Bank and SBI's nominee directors, citing vacancy due to loan repayment. IDBI Bank seeks ROC's intervention to assert its right to retain Nominee Directors until all dues are cleared, citing clauses in the MRA, AoA, and Companies Act, 2013.
The lender's net interest income too jumped 61% to Rs 3,998 crore for the quarter under review. It was Rs 2,488 crore in the corresponding period of last year.