From Jaindi...
i hear you ******- you are right with respect to the 25 per cent
single borrower limit. The capital base can not support that level of
borrowing. The rule allows banks to break the single borrower limit
rule only if they are lending to the state or to a 100 per cent state
owned entity. KPLC is not. Please grab a copy of KPLC's 2006 accounts
and have a look at the information disclosed in the NOTES. When i
asked the CEO of KPLC, they said those are monies on lent to them by
the government and that Standard Chartered was just but an arranger.
Which begs the question: if the sh 50 billion is on lent to them,
why does it appear on KPLC's balance sheet in the first place and as
money lent to them by Stanchart? Let's keep the discussion going
possunt quia posse videntur