MUMBAI - India's Bombay High Court refused to stay the central bank's decision to not allow promoter stake sale in Kotak Mahindra Bank Ltd and said it would hear the case next on Jan. 17, news channel CNBC TV18 reported on Monday.
The bank last week challenged in court the Reserve Bank of India's (RBI) decision to not allow its promoter to issue preference shares to reduce stake in the private-sector lender.
Uday Kotak, the billionaire head of Kotak Mahindra, has been asked by the RBI to lower his holding in the company to 20 percent by the end of the year, and to 15 percent by March 31, 2020.
Shares of Kotak Mahindra Bank fell over 3 percent on the news.
(Reporting by Swati Bhat; Editing by Gopakumar Warrier) ((swati.bhat@thomsonreuters.com; twitter.com/swatibhat22; +91-22-61807353; Reuters Messaging: swati.bhat.thomsonreuters.com@reuters.net))
