NEW DELHI: Bank shares were trading on a mixed note in Tuesday's morning session.The Supreme Court today said RBI's February 12 circular on defaulting companies is illegal.
The Supreme Court has struck down the controversial RBI circular that mandated banks to immediately resolve all bad loans above Rs 2000 crore or file for insolvency resolution under the IBC.
The circular asked banks to either resolve or file for insolvency taking away their discretion to not to act on bad loans.The Nifty Bank index was trading 0.19 per cent down at 30,269.90 around 11:13 am.
Shares of IndusInd Bank (up 1.55 per cent), Punjab National Bank (up 1.33 per cent), State Bank of India (up 1.24 per cent) and Bank of Baroda (up 1.21 per cent) were the top performers in the index.
IDFC First Bank (down 1.07 per cent), ICICI Bank (down 0.95 per cent), RBL Bank (down 0.88 per cent) and HDFC Bank (down 0.72 per cent) were trading lower.
Benchmark NSE Nifty50 index was up 5.95 points at 11,675.10 while the BSE Sensex was up 34.96 points at 38,906.83.
Among the 50 stocks in the Nifty index, 28 were trading in the green, while 22 were in the red.
Shares of Vodafone Idea, Tata Motors, BEL, Bank of Baroda, SBI, SAIL, Ashok Leyland, YES Bank, DLF, BHEL, Bharti Airtel and Zee Ent.
were among the most traded shares on the NSE.