Some months back Nimda Commerce Bank sold back a group of international currencies to Spacebank, which had been bought by Nimda CEO. Among them were several Indian bank notes of 500 and 1000 rupee that in 28 days from will be out of circulation.
Indians were urged not to rush to banks but ATMs were closed. This measure was taken by the indian government to combat black market trade and tax evasion. The trouble for Spacebank is that traveling to Mumbai to trade the bank notes is more expensive than them, however this action will impact on the Spacebank’s international currency fund, as it will loose liquidity.
On the other hand, it is believed that the Pakistani Intelligence advised Nimda Commerce Bank to sell the currencies back in August. Nimda Commerce Bank traded the reserve currencies with Spacebank for DMS. If true, this would prove that Nimda Commerce Bank is using again privileged information to maintain it’s liquidity. This might be a good moment for Spacebank rethink its slogan to ask itself: Can you really don’t hate the banks?