The Times of Oman reported Thursday minutes from the Ministry of Commerce and Industry and Directorate-General of Commerce indicated the merger would not go through until the objection had been resolved.
The Times of Oman quoted Salem Khan as saying his 5-year-old dispute with HSBC Oman involved his garment business but refused to release details of the case for legal reasons.
HSBC Bank Middle East -- a wholly owned subsidiary of HSBC Holdings -- announced in April it would merge HSBC Oman operations with OIB, retaining 51 percent of new combined entity. The Times of Oman said the merger had been expected to be completed by the end of June.
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