The Finance Ministry on Saturday issued a clarification regarding the legislative developments in 2003 concerning the government’s shareholding in IDBI, and said the legislative history of the IDBI (Repeal) Act, 2003, a Delhi High Court judgement and successive Union Budget speeches reflect the evolution of its policy towards the strategic disinvestment of IDBI Bank.

"It is reiterated that during the discussions of Union Budget, 2003 and the parliamentary debate on the IDBI (Repeal) Act, 2003, an amendment seeking to restrict the dilution of the Government’s stake was moved but was ultimately rejected and did not form part of the enacted legislation," the Finance Ministry said in a statement.