KARACHI, Aug 18: NBP has clarified a news item appeared in Dawn on August 17, alleging slow process of settlement of applications received under SBP BPD Circular 29 dated Oct 15, 2002.

A press release of the NBP said the bank had in total received more than 500 such applications out of which 157 stand settled while 128 applications do not qualify under the various provisions of the SBP Circular 29. Around 130 applications have been referred to the resolution committee constituted by the SBP out of which 31 cases have been resolved and 74 cases are still under consideration of the committee.

The balance cases under process at the NBP would be settled within the target date set by the SBP i.e. August 31, 2003.

It is further clarified that the NBP is completing its process of due diligence on an emergent basis and delays, if any, is mainly due to the fact that bulk of Circular 29 applications requesting settlement of liabilities have been received in June 2003 leaving little time for the bank to complete its process for approval from the bank’s competent authorities i.e. the Credit Committee/Board.