Wednesday, July 17, 2024

Ads by Google

Ads by Google

HomeNewsElectoral bonds case: SBI share price sees major dip after Supreme Court...

Electoral bonds case: SBI share price sees major dip after Supreme Court raps bank

The Supreme Court on Monday rejected the State Bank of India’s plea seeking an extension of the deadline to disclose the data linked to electoral bonds. Shortly after the apex court’s verdict, the shares of SBI suffered a significant dip.

SBI shares price takes a deep plunge after Supreme Court hearing(REUTERS)
SBI shares price takes a deep plunge after Supreme Court hearing(REUTERS)

SBI shares saw a dip of nearly 2 percent soon after the Supreme Court dismissed its plea and ordered the bank to present the data by tomorrow, March 12. At 3:30 pm, SBI shares stood at 773, seeing a dip of 15 from the previous close.

Hindustan Times – your fastest source for breaking news! Read now.

SBI’s intraday low was recorded at 771, which was 2 percent lower than the previous day. Experts believe that the shares of the central bank dropped not just because of the Supreme Court verdict, but also due to the weak sentiments in the Indian stock market, reported Mint.

Read more: SC rejects SBI plea for time until Jun 30 to disclose details of electoral bonds

Experts also suggested that the dip in the share prices of SBI should not have a lasting impact on the PSU banking sector and should be viewed as an opportunity for medium and long-term investors.

A five-judge Constitution bench — comprising Chief Justice of India DY Chandrachud and Justices Sanjiv Khanna, BR Gavai, JB Pardiwala, Manoj Misra — on Monday ordered that the State Bank of India disclose all the details linked to the electoral bonds on March 12.

Read more: ‘SBI on notice’: What Supreme Court said in electoral bonds ruling | Top quotes

Electoral bonds case: What Supreme Court said

The Supreme Court rejected SBI’s plea for an extension of deadline to declare the electoral bonds data till June 30. The deadline for the same had been set at March 6 by the apex court in the previous hearing, and ECI was ordered to publish the data by March 13.

Passing the order on SBI’s application today, the bench ordered, “Submissions of SBI in application indicates that information sought is readily available. Thus, the application by SBI seeking extension of time until June 30 is dismissed. SBI is directed to disclose the details by the close of business hours of March 12, 2024.”

Read more: Electoral bonds: Meet Jaya Thakur of Congress who filed plea in Supreme Court

The Constitution bench also warned the SBI of contempt of court against it for wilfully disobeying its order in the event of non-compliance with the latest directions.

“Though we are not exercising the contempt jurisdiction, but we place SBI on notice that this court will proceed against it for wilful disobedience if it does not comply with the timelines indicated in this order,” ordered the bench.

(With inputs from PTI)