Case Brief
RBI cancelled the licence of The Seva Vikas Co-operative Bank Ltd., Pune, Maharashtra, by order dated October 10, 2022. The bank was found to lack adequate capital and earning prospects and to be non-compliant with multiple licensing provisions under the Banking Regulation Act, 1949, including Sections 11(1) and 22(3)(a) to 22(3)(e) read with Section 56. RBI said continuation of the bank was prejudicial to depositors, that it would be unable to repay present depositors in full, and that public interest would be adversely affected by further operation. RBI also requested the Maharashtra Registrar of Cooperative Societies to initiate winding up and appoint a liquidator.
Action Snapshot
- Primary Impact
- License cancellation
- Entity Type
- Co-operative bank
- Location
- Pune, Maharashtra