Question on debts of overseas branch of an indian bank.
Mr. Amar Jain
(Querist) 02 June 2011
This query is : Resolved
Hello Experts,
I am in need of your guidance on the following question:
If an overseas branch of the indian bank commits default in discharging its debts, then in our winding up petition, can we also demand that such bank also be closed?
Further, can we take indian bank's assets for discharging the debts of that overseas branch?
Any regulations / cases on the point?
Regards
Amar Jain.
Website: www.amarjain.com
Advocate. Arunagiri
(Expert) 02 June 2011
It is only a branch. You can send notice to the Head office to discharge its debts. When a single branch is committing mistakes, you can not close the bank.
Mr. Amar Jain
(Querist) 03 June 2011
Thanks for the reply, what will be the position in case it is wholely Owned Subsidiary?
And in both the cases, can we ask the H.O., to discharge debts from its own assets too?
Can you point towards any regulations or relevant legal provisions?
