Question : GLOBAL TRUST BANK



(a) whether Global Trust Bank is facing financial crunch;

(b) if so, the details thereof;

(c) whether Reserve Bank has given any assurance to this bank`s financial position; and

(d) if so, the details thereof ?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI ANANT G. GEETE)

(a) to (d): RBI has reported that Global Trust Bank Ltd at present is not facing any financial crunch. The bank however had faced large withdrawals in some branches in Hyderabad and Secunderabad during the first week of June 2002, due to certain adverse local media reports. The bank had made necessary arrangements to meet the cash withdrawals and returned to normalcy. RBI has clarified that it does not have concerns relating to soundness and stability of the bank.