HDFC Bank refuses to entertain BMA clients' plea to return shares

Some investors had even threatened to move Reserve Bank of India (RBI) and Securities Appellate Tribunal (SAT) against HDFC Bank, if it didn't return the shares.

HDFC Bank has refused to entertain a plea by investors to return their shares that were fraudulently pledged by suspended brokerage BMA Wealth Creators. The beleaguered clients of BMA had pleaded with the lender to return the shares to their depository participant (DP) accounts. 

In a letter to BMA’s clients, HDFC Bank said it was well within its legal rights to sell shares pledged by the brokerage under the loan agreements. It further claimed that BMA had “expressly represented” that it owned the shares pledged.

The clients’ letter stated that they were in possession of a document written by BMA