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UTI Bank offers credit to US-64 investors

G Singa Rao

The UTI Bank will provide loans to holders of Unit Trust of India's US-64 scheme, up to 60 per cent of the face value of the unit, that is, Rs 10.

Confirming this, a UTI official said, " Though it is not official, to those who urgently need money, we are marking the line on their holdings in favour of UTI Bank. They can take the loan on the next day."

The official said that some other banks have also come forward to provide loans against US-64 units but they are giving up to 50 per cent only.

UTI has taken up an exercise of explaining to investors the circumstances under which the decision to suspend the sale and repurchase of US-64 scheme for six months was taken.

Officers at the UTI branches are personally making calls to large investors with an investment of more than Rs 1 million in the scheme. UTI has also called for a meeting of top agents at the branch level who in turn will talk to investors and convince them.

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