Banks move SAT against NSDL's decision to transfer Karvy's securities

Private lenders HDFC Bank, ICICI Bank and IndusInd Bank on Tuesday approached the Securities Appellate Tribunal (SAT) against National Securities Depository’s (NSDL) move to transfer securities from Karvy Stock Broking’s demat account to its respective clients. A day earlier, Bajaj Finance had moved the tribunal in the same matter. 

These lenders have cumulatively lent close to Rs 1,000 crore to Karvy, which has fraudulently used its client securities as collateral for the loans.

HDFC Bank had Rs 470 crore worth of shares pledged for Rs 300 crore of outstanding loans. Bajaj Finance has Rs 345 crore of outstanding loans to Karvy. Other