Special dispensation on voting rights not likely for IDBI Bank buyer

May be capped at 26%, irrespective of stake bought

The government is unlikely to grant any special dispensation to the new buyer of IDBI Bank by capping its voting rights at 26 per cent, even if an investor picks up 50 per cent or more stake in the lender, officials in the know said.

The Reserve Bank of India (RBI) has been of the view that the voting rights of a buyer should be capped at 26 per cent, irrespective of the quantum of stake it buys in a bank. This has been agreed upon by the Centre, an official said.

The issue has been part of deliberations between the government