There was a time when the Industrial Development Bank of India (IDBI) occupied a unique place among financial institutions in the country that helped set up big industries and subsidiaries, such as technical consultancy organisations and the Small Industries Development Bank of India (SIDBI). Unfortunately, negligence and mismanagement have led to its downfall. It is a matter of concern that nudging LIC to acquire a majority stake in IDBI might cause a financial setback to lakhs of LIC policy holders. Though the sinking bank might get another chance at survival, one wonders if it will make efforts to improve its track record and be vigilant in sanctioning loans (Editorial, “Risky recourse”, July 2).
Jayant Mukherjee,
Kolkata