Kerala Financial Corp launches e-sale portal

The Kerala Financial Corporation (KFC) has launched its e-Sale Web Portal & Core Financial Solution.

Through this, e-sale of assets will bring transparency, fairness and openness in the sale of assets of defaulting borrowers. A person sitting anywhere in the world can participate in the e-tender/e-auction and make e-payment, a release said. State finance minister KM Mani inaugurated the portal.

The core financial solution has been developed in association with Tata Consultancy Services. This would fully computerise the loan accounts and automation of office procedures. Besides, it will make the corporation a paperless organisation, interlinking all its zonal offices and branches.

 

The corporation has also come out with a bond issue of Rs 100 crore with a greenshoe option of Rs 100 crore. The bonds would be in the nature of debentures with the guarantee of the the state government.

Further, the bond would be redeemable, non-convertible and taxable. The face value of each bond will be Rs 10 lakh and carry an interest rate of 10.24 per cent per annum with half-yearly interest payment. The maturity will be 10 years.

However, investors will have the option to reedem at the end of fourth year at 25 per cent per year from that year to the seventh year. The bonds will be listed on the Bombay Stock Exchange (BSE).

KFC also intends to introduce a two-year after sale service for e-sold assets. Till now, the practice in all financial institutions has been to sell the assets on ‘as is where is basis’.