i)
Corporate Guarantee issued by a private foreign holding
company, which has been rated ‘A’ by a reputable International
Credit Rating Agency, may be accepted by banks in lieu of
a bank guarantee, keeping in view the international best
practices. The rating report should be kept on file by the
bank for future review of State Bank Inspectors.
ii)
A director of a company who is not related to sponsors
/owners of a company, having a post graduate education in
business / commerce / accountancy / law / finance / management
or in any subject related to his job, alongwith a minimum
related experience of five years, may be considered as a
professional for the purpose of BSD Circular Letter No.
21 of 23rd August, 2001.
iii)
A nominee director, being nominated by a creditor
bank on the board of a private limited company, shall be
exempted from the requirement of submission of personal
guarantee.
iv)
In cases, where the personal guarantees from the
directors representing majority interest in a private limited
company are backed by assets
that are held in the name of these directors or in
the name of their spouses are sufficient, severally, to
cover the amount of financing given by a bank, the requirement
of obtaining personal guarantees from the directors representing
minority shareholding in that company may be dispensed with
and need not be insisted upon. Evidence about the assets
of the directors and /or their spouses will need to be obtained
by the bank, in the form of a Personal Wealth Statement
filed by such directors and / or their spouses, which shall
be properly placed in the record of the bank for future
review by SBP inspectors.