A division bench comprising justice BN Kirpal and justice S Rajendra Babu, while admitting the appeals, stayed the trial court's verdict sentencing each of the accused to seven years rigorous imprisonment.

However, the bench declined to stay the fine imposed on the accused and gave them two-week time to deposit the amount with the authorities.

Special judge MS Rane had convicted Dalal, Canara Bank Financial Services Ltd (Canfina) chief dealer Ashok Kumar and seven others for causing a loss of Rs 59 crore in various transactions in securities worth Rs 494 crore in 1991.

Other convicts are Canfina dealer S Mohan, stock brokers AD Narottam and S Ramaswamy, Bank of Karad employees CS Raje and Sudhakar Ail, Metropolitan Cooperative Bank director KK Kapadia and the bank'saccountant MK Kushte. CBI, which investigated the matter, had alleged that Canfina purchased 35 crore UTI units from Bank of Karad in 1991 through broker Hiten Dalal but 26 crore units were not delivered to Canfina due to liquidation of the Bank of Karad.