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Investors file suit over US-64 suspension

The National Association of Small Investors on Friday filed a public interest litigation in the Bombay high court challenging the Unit Trust of India's decision to suspend sale and repurchase of units under US-64 scheme.

The PIL would come up for hearing before Chief Justice B P Singh and justice Vijaya Kapse-Tahilramani on July 11.

The PIL, filed by NASI president Pradeep Bhavnani, prayed that the suspension of sale and repurchase of units under this scheme be lifted and the UTI be directed to repurchase the units at the same price offered to the investors.

The PIL also prayed for a direction to UTI to raise the dividend announced for US-64 scheme to at least 20 per cent.

The PIL contended that the yield to the investors based on the present 10 per cent dividend was a mere 6.67 per cent, even below the prevailing the bank interest rate per annum.

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