Is govt going slow on rights issues of PSU banks?

Chiefs of state owned banks have been doing the rounds of North block in the hope that the government would allow them to raise much needed cash through rights issues. But as Union Bank found out they may have to pinch pennies a little while longer, as applications to go in for a rights issue seem to have hit a roadblock even though cash is needed to shore up the bank's capital adequacy ratio and to fund the growth in its fee based businesses.