Customers crowd GTB branches in Delhi
Our Banking Bureau
26 July 2004

Mumbai: Panic-stricken customers of Global Trust Bank continued to throng its seven branches across the capital since early morning to withdraw cash, even as the bank officials said the GTB had enough liquidity to pay the account-holders.

GTB officials said over Rs 10 crore (Rs 100 million) had been withdrawn by 10,000 customers in the capital on Sunday.

"The bank is stabbed and now the only way out is to amalgamate GTB with another nationalised bank," GTB vice-president (head of branch) M S Venkateswaran told PTI.

Though RBI has approved the scheme of merging GTB with the Oriental Bank of Commerce, the sources said HDFC Bank had also shown interest.

All the seven GTB branches in New Delhi opened early today as the queue of customers continued to swell. "However, the withdrawal pressure is less today, after the government's assurance to protect the customers' interest," a senior GTB official said.

finance minister P Chidambaram today said the government was committed to "protecting" the interests of depositors and the deposits in the bank were "reasonably safe."

"I came to take stock of the situation. Now I am confident that my money will be safe and I can withdraw the full amount once the moratorium is lifted," Ram Paras, a customer who has deposits worth over Rs 10 lakh (Rs 1 million) in the bank, said.

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