Case Brief
The Reserve Bank of India cancelled the licence of The Hiriyur Urban Co-operative Bank Ltd., Hiriyur, by order dated January 12, 2024. RBI said the bank did not have adequate capital and earning prospects, failed to comply with multiple provisions of the Banking Regulation Act, 1949, and its continuance was prejudicial to depositors and public interest. Following the cancellation, the bank is prohibited from conducting banking business, including accepting and repaying deposits, with immediate effect. RBI also requested the Registrar of Cooperative Societies, Karnataka to initiate winding up and appoint a liquidator.
Action Snapshot
- Primary Impact
- License cancellation
- Entity Type
- Co-operative bank
- Location
- Hiriyur, Karnataka