Cygwin date displays only GMT on Win7

[Siv <sivakumarjr at gmail dot com>]

Hi, I just moved to Win7 from XP and installed Cygwin : 

Cygwin1.dll properties : 
File Version : 1007.28.0.0
Product Version : 1.7.28
Date Modified : 04-02-2014 

$ bash --version
GNU bash, version 4.1.10(4)-release (i686-pc-cygwin)
Copyright (C) 2009 Free Software Foundation, Inc.
License GPLv3+: GNU GPL version 3 or later <http://gnu.org/licenses/gpl.html>

One major problem is that it is showing only GMT time. 
In the WinXP env, it used to show the same time as System time (GMT +05.30). 
But here it is only GMT and it is breaking many things. 

Should I change the locale setting or the LC_TIME or TZ? 
I tried setting : 
set env `locale -f en_IN.utf8` 
but cygwin says : 
Environment variable env `locale -f en_IN.utf8` not defined
tzset: can't find matching POSIX timezone for Windows timezone "India
standard time"
locale -a shows an entry en_IN.utf8. 

Googling is taking me to solutions in perl/C programs - but I want the
solution in plain bash script 

Any other parameter is needed to answer or am I missing something critical? 




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