Case Brief
The Reserve Bank of India cancelled the banking licence of Shree Mahalaxmi Mercantile Co-operative Bank Ltd., Dabhoi by order dated January 12, 2024. RBI said the bank lacked adequate capital and earning prospects, had not complied with multiple provisions of the Banking Regulation Act, 1949, and its continuance was prejudicial to depositors and public interest. As a result, the bank ceases to carry on banking business with effect from the close of business on January 12, 2024, and the Registrar of Cooperative Societies, Gujarat has been requested to initiate winding up and appoint a liquidator.
Action Snapshot
- Primary Impact
- License cancellation
- Entity Type
- Co-operative bank
- Location
- Dabhoi, Gujarat