Case Brief
RBI issued a modification dated December 26, 2016 to paragraph 1(i) of the directions previously imposed on Nashik Zilla Girna Sahakari Bank Ltd., Nashik, Maharashtra, and earlier extended in March and August 2016. Under the modified terms, the bank could set off loans against fixed deposits, subject to KYC compliance, depositor consent/notice requirements, and other stated restrictions, and could also renew existing loan limits of standard and secured CC accounts other than director-related loans. The release expressly says the modification should not be read as indicating RBI's satisfaction with the bank's financial condition, but it does not impose any new adverse restriction beyond the already-existing directions framework.
Action Snapshot
- Primary Impact
- Lifted
- Entity Type
- Co-operative bank
- Location
- Nashik, Maharashtra