RBI cancels licence of Purvanchal Co-op Bank, Ghazipur


PTI, Jun 17, 2024, 4:39 PM IST

The Reserve Bank has cancelled the licence of Purvanchal Co-operative Bank, Ghazipur, Uttar Pradesh as it does not have adequate capital and earning prospects.

The Commissioner for Cooperation and Registrar of Cooperative Societies, Uttar Pradesh has also been asked to issue an order for winding up the bank and appoint a liquidator, the RBI said in a statement.

On liquidation, every depositor would be entitled to receive deposit insurance claim amount of his/her deposits up to Rs 5 lakh only from Deposit Insurance and Credit Guarantee Corporation (DICGC).

As per the data submitted by the Purvanchal Co-operative Bank, about 99.51 per cent of the depositors are entitled to receive full amount of their deposits from DICGC, the RBI said.

Giving details, the RBI said the cooperative bank with its present financial position would be unable to pay its present depositors in full.

“The bank does not have adequate capital and earning prospects,” it said, and added public interest would be adversely affected if the bank is allowed to carry on its banking business any further.

Consequent to the cancellation of its licence, Purvanchal Co-operative Bank has been prohibited from conducting the business of ‘banking’ which includes, among other things, acceptance of deposits and repayment of deposits.

RBI also informed that DICGC (as on May 30, 2024) has already paid Rs 12.63 crore of the total insured deposits based on the willingness received from the depositors concerned of the bank.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Waqf land dispute: Kerala CM assures no body will be evicted from Munambam

Government launches Haj Suvidha App 2.0 for ease of pilgrims

VHP’s saint congregation resolves to fight against ‘Waqf Board land claims’

I haven’t lost my childishness: Gulzar on youth and creativity

Women centric schemes game-changer for Maharashtra, Jharkhand?

AR Rahman sends notice to ‘slanderers’ over speculations surrounding separation with Saira Banu

No anti-government sentiment in Kerala, claims CM Vijayan

Related Articles More

Never entered into pact to operate airport in Kenya: Adani

None of Adani portfolio cos subject to any legal case: Group CFO on promoter indictment in US

Binny Bansal steps down from board of PhonePe

MSEZ partners with Italy’s MIR Group for Rs 1,500 cr green facility

Sony India bags ACC media rights for eight years

MUST WATCH

Prakash Belawadi

Naxal Leader Vikram Gowda

Christmas Cake Fruit Mixing

DK Shivakumar

Rose Cultivation


Latest Additions

Waqf land dispute: Kerala CM assures no body will be evicted from Munambam

Government launches Haj Suvidha App 2.0 for ease of pilgrims

VHP’s saint congregation resolves to fight against ‘Waqf Board land claims’

I haven’t lost my childishness: Gulzar on youth and creativity

Satwik, Chirag doubles pair bows out of China Masters semifinals

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.