The document summarizes the UTI scam that occurred in India involving the US-64 mutual fund scheme. It provides background on the establishment and growth of US-64 in the 1960s-1990s when its dividend rates rose to 26%. From 1995-1999, the fund's net asset value fell drastically. A panel was formed in 1999 to revamp the fund following the crisis. UTI then suspended trading of US-64 units for six months in 2001 before ending the fund in 2003 and offering investors cash or bonds. The document outlines reasons for the crisis such as non-declaration of net asset values, high dividends, investment in junk bonds, and involvement of Ketan Parekh. It also discusses the impact on investors

1. UTI SCAM- U.S 64 CRISES

4. Primary objective and other objective of UTI

5. SCHEMES of mutual funds in UTI
OPEN ENDED
CLOSE ENDED

6. US-64 scheme
ESTABLISHMENT
INVESTORS

7. Fund to Bond to Cash
1964: UTI launches US-64, an open-ended balanced fund
1990-1995: Dividend rate of US-64 is 18%. It rises to 26% by 1995
1995-99: Net asset value of US-64 falls drastically
1999: Deepak Parekh panel set up to suggest US-64 revamp, bailout
2001: UTI suspends sale, purchase of US-64 units for six months
2003: US-64 mutual fund ends; investors offered cash or tax-free tradable
bonds, with 6.75% annual interest
2008: Bonds mature on 31 May, putting an end to the US-64 saga
Year wise information about the process of scam

8. Reasons behind US-64 crises
Non-declaration of
NAV
Declaration of high
dividend

9. Factors helped to rise the
US-64 crises
 Huge investment in Junk
bonds
 Involvement of Ketan
Parekh

10. Role of Corporate Governance in UTI scams
 TRANSPARENCY
 ACCOUNTABILITY
 INTEGRITY

11. IMPACT OF UTI SCAM ON INVESTORS
 LOSS OF WEALTH
 LOSS OF CONFIDENCE
 RESULTS IN DECLINE OF
RETAIL PARTICIPATION

12. SUGGESTION TO PREVENT UTI SCAM IN FUTURE
 TRANPARENCY IN THE SYSTEM
 STRICT LEGISLATION
 EFFECTIVE AND REGULAR
VIGILANCE
 HOLE OF MEDIA