KTR questions IDBI Bank sale and valuation transparency
BRS leader K.T. Rama Rao raised concerns regarding the potential undervaluation of the bank and its real estate assets.
Bharat Rashtra Samithi (BRS) working president K.T. Rama Rao has raised questions regarding the Union government's plan to sell IDBI Bank to a private entity, according to reports by The Hindu and Telangana Today.
In a post on X, Rama Rao described public sector banks and undertakings as national assets that must be protected. He questioned the urgency of the sale and asked why the valuation methodology and rules were altered after bids failed to meet the reserve price.
The BRS leader also sought clarification on whether the bank's real estate holdings, including prime land in Hyderabad, were included in the valuation process. He further asked why the concerns of IDBI Bank employees regarding the disinvestment have not been addressed.
The All India IDBI Officers Association has opposed the privatisation, alleging that the bank is being offered for sale at a low price despite recent profit growth. The association stated that selling a profitable bank at such a rate risks foreign control and could impact the economy, MSMEs, and agriculture.
The association has called on Rama Rao to intervene and demand a review of the sale to protect the interests of employees and their families. They also expressed concerns regarding job security and reservation safeguards during the transition.