Case Brief
The Reserve Bank of India extended the validity of its existing directions issued under Section 35A read with Section 56 of the Banking Regulation Act, 1949 (AACS) against Padmashri Dr. Vithalrao Vikhe Patil Co-operative Bank Ltd., Nashik, Maharashtra. These directions, first issued on May 19, 2018 and last extended up to June 17, 2022, were continued for a further period of two months from June 18, 2022 to August 17, 2022, subject to review. The release says the directions impose restrictions and/or ceilings on withdrawal and acceptance of deposits, while clarifying that the order should not be construed as cancellation of the bank's licence. The bank may continue banking business only within the imposed restrictions, and RBI may modify the directions depending on circumstances.
Action Snapshot
- Primary Impact
- Extension
- Entity Type
- Co-operative bank
- Location