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Source: Nanfang Daily Online Edition     time: 2022-08-16 05:01:27

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betting web xmbaolong

  RBI imposes restrictions on 3 co-op banks

As part of the restrictions, the two cooperative banks
Image Source : FILE PHOTO As part of the restrictions, the two cooperative banks cannot grant loans, make any investment, incur any liability among other restrictions.

The Reserve Bank has imposed several restrictions, including on the withdrawal of funds, on three cooperative banks in view of their deteriorating financial condition. With the imposition of restrictions on Jaiprakash Narayan Nagari Sahakari Bank, Basmatnagar, depositors will not be able to withdraw funds from their accounts, the central bank said in a statement.

In another statement, it said that depositors of The Karmala Urban Co-operative Bank, Solapur, can only withdraw up to Rs 10,000 from their accounts. The RBI has also imposed restrictions on Durga Co-operative Urban Bank, Vijayawada. Its customers can withdraw up to Rs 1.5 lakh from their deposits. The restrictions imposed on the three banks under the Banking Regulation Act, 1949 the Reserve Bank would remain in force for six months and are subject to review.

As part of the restrictions, the two cooperative banks cannot grant loans, make any investment, incur any liability -- including borrowal of funds and acceptance of fresh deposits, disburse or dispose of properties or assets. The RBI said the issue of directions to the three lenders should not per se be construed as a cancellation of a banking license. The banks will continue to undertake banking business with restrictions till their financial position improves. 

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