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Sivasankaran to meet Nadars over Tamilnadu Mercantile Bank

Non-resident Indian businessman Sivasankaran, who has acquired a majority of the shares of the Tamilnadu Mercantile Bank from the Essar group, today said he would return to India by this month end and attempt to find an amicable solution to the dispute relating to the return of the shares to the Nadar community.

In a statement made available to the press in Madras, Sivasankaran said he would meet the Nadar community leaders in the presence of Chief Minister M Karunanidhi in this regard. He made it clear that he had paid Rs 1.35 billion to the Essar group of Sasikanth Ruia to buy the shares.

According to the Nadar community leaders, the Essar group had agreed to return the shares for Rs 1 billion.

Referring to the agreement reached between the community leaders and the Essar group in the presence of Karunanidhi, he said since he did not attend the meeting, he was not aware of the details of the agreement.

The bank was originally started by the Nadar community. The Essar group acquired a majority of the shares later.

The original promoters were now demanding the return of the shares for Rs 1 billion as the bank was promoted for the service of the community. Sivasankaran has been demanding payment of Rs 1.76 billion for the transfer of the shares to the community.

EARLIER REPORT:
The dispute over the Tamilnadu Mercantile Bank