Case Brief
RBI, by order dated May 12, 2026, cancelled the licence of Sarvodaya Co-operative Bank Ltd., Mumbai under Section 22 read with Section 56 of the Banking Regulation Act, 1949. The bank was found to lack adequate capital and earning prospects and to have failed multiple statutory requirements, and RBI concluded that its continuance would harm depositors and public interest. Following cancellation, the bank is prohibited from conducting banking business, including accepting and repaying deposits, with effect from the close of business on May 12, 2026; the registrar has been asked to issue a winding-up order and appoint a liquidator.
Action Snapshot
- Primary Impact
- License cancellation
- Entity Type
- Co-operative bank
- Location
- Mumbai, Maharashtra