Case Brief
The Reserve Bank of India notified that Lokseva Sahakari Bank Ltd., Pune, was already under directions from May 20, 2014 and that those directions had been extended multiple times. By modified order dated May 13, 2016, RBI extended the operative period of the existing directive for another six months, from May 19, 2016 to November 19, 2016. The modification continued the restriction that no depositor may withdraw more than ₹1,00,000 from any savings bank, current account, term deposit account or any other deposit account, subject to adjustment against any borrowal or surety liabilities owed to the bank. The RBI also clarified that the modification should not be taken to mean that it was satisfied with any substantive improvement in the bank's financial position.
Action Snapshot
- Primary Impact
- Extension
- Entity Type
- Co-operative bank
- Location