From: gnreddy@cbnewsf.att.com (G.Narotham Reddy)
Subject: India - ANZ Grindlays Bank pays over Five Billion to NHB
Organization: AT&T
Date: Fri, 6 Nov 92 13:04:00 GMT


Source   : The CGI
Date     : November 4, 1992
Country  : India

* ANZ Grindlays pays over Rs Five Billion to NHB
* Top Khalistan militant killed in Punjab
* Trouble brews in Karnatak

                        * * * * 

* ANZ Grindlays pays over Rs Five Billion to NHB

Bombay: Nov 4 - The ANZ Grindlays Banks complying with a Reserve Bank
of India directive, paid Rs 5.0654 billion to the National Housing
Bank in connection with securities scam, pending arbritration of the
matter.
	Denying its involvement in the scam while crediting to broker
Harshad Mehta's account the NHB cheques, the Bank's Chief Executive in
India, Mr.R.J.Edgar, told reporters that pending the decision of the
panel for arbritration, which is expected to take four months to
resolve the issue, "ANZ Bank has complied with the RBI directive to
pay but without prejudice to all ANZ Grindlays; legal rights and
contentions."
	"It is far better to bring the dispute to legal adjudications
so that there is no room from complaint," he said adding "if the
arbitration decision is in favour of ANZ Grindlays bank, the funds
will be returned to ANZ Grindlays Bank."
	The NHB claim was made in series of letters from May to June
1992 on ANZ Grindlays in respect of alleged securities transactions
totalling Rs 5.06 billion.
	ANZ said cheques issed by NHB were drawn on its account with
RBI payable to ANZ Grindlays, but handed to Harshad Mehta's
representative thereby constituting instructions that the proceeds of
the cheques be credited to Harshad's Mehta's account with the Bank.

* Top Khalistan militant killed

Chandigarh: Nov 4 -  Seven militants including one Pragat Singh, alias
'Bullet' (??), who said to have involved in nearly 100 killings,
were among 11 people killed while security forces nabbed nine
militants in the northern state of Punjab since Tuesday night.
	Pargat Singh, a self-styled 'Lt. Gen' of the outlawed Khalistan 
Commando Force, a militant outfit was killed in an encounter with security 
forces near village Balagan in Amritsar district Wednesday.
	A tragedy was averted with timely detection of a bomb on the
Dakala-Sular road near the Netaji National Institute of Sports. 

* Claims, counter-claims by rival camps in Karnataka

Bangalore: (Nov 4) - On a day of high political drama, supporters and
opponents of Karnataka Chief Minister, Mr.S.Bangarappa, on Wednesday
made claims and counter-claims on their respective strengths before
the three-member high-level team of central observers here to elicit
views of elected representatives to solve the political crisis in the
state.
	While the ruling Cong(I) dissidents, who met the observers
individually, claimed the support of 85 legislators and 12
corporators, the pro-Bangarappa group which took out a procession from
'Krishna,' Mr.Bangarappa's home-cum-office, to 'Kumara-Krupa', the
state guest house where the observers are meeting party men, claimed
that they had the backing of 107 legislators and 10 corporators.
	Some ministers of the Bangarappa Cabinet reportedly pleaded
with the observers to allow them to express their views either in a
group or on a district-wise basis.
	The team comprises Home Minister Mr.S.B.Chavan, Congress(I)
General Secretary of the southern state of Karnataka, Mr.Nawal Kishore
Sharma and Mr.A.K.Anthony.
	Meanwhile a prominent dissident leader, Mr.Harnahalli
Ramaswamy, Corporator, disputed the pro-Bagarappa group's claims and
said there were only 65 legislators. The rest were district presidents, 
urban development authority presidents and former legislators.
	Mr.Chowda Reddy, a legislator, alleged there were 'forged'
signatures in the list of 140 legislators submitted by Mr.Bangarappa
to the Prime Minister Mr.Narasimha Rao recently.
	The political crisis in the state came to a fore when
dissidents led by the senior minister Mr.Veerappa Moiley protested the
Chief Minister's decision to commemorate the completion of his two
years of office on October 17 in a grand way.
	
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