Case Brief
RBI has extended the existing directions on Baranagar Co-operative Bank Ltd., Baranagar, Kolkata, West Bengal, for another three months from October 30, 2014 to January 29, 2015, subject to review. The bank had originally been placed under directions on July 30, 2013 due to its very precarious financial position, and the order had already been extended twice. Under the directions, the bank cannot, without prior RBI approval, grant or renew loans and advances, make investments, incur liabilities including borrowings and fresh deposits, disburse payments, enter into compromises or arrangements, or sell/transfer/dispose of assets except as permitted. Depositors are allowed to withdraw only up to Rs 1,000 from each savings bank, current account, or other deposit account, subject to conditions.
Action Snapshot
- Primary Impact
- Extension
- Entity Type
- Co-operative bank
- Location