+
RBI Allows Withdrawal for New India Cooperative Bank Depositors
ECONOMY & POLICY

RBI Allows Withdrawal for New India Cooperative Bank Depositors

In a partial relief to depositors of the fraud-hit New India Cooperative Bank, the Reserve Bank of India (RBI) has permitted withdrawals of up to Rs 25,000 starting February 27. This relaxation will enable more than 50% of the bank’s depositors to withdraw their entire balances, while the remaining depositors can access up to Rs 25,000 from their accounts. The withdrawals can be made through the bank’s branches and ATMs, subject to an upper limit of Rs 25,000 per depositor or their available account balance, whichever is lower.

Additionally, the RBI has reconstituted the Committee of Advisors (CoA) to the Administrator, effective February 25. The newly appointed CoA members include Ravindra Sapra, former General Manager of State Bank of India; Ravindra Tukaram Chavan, former Deputy CGM of Saraswat Co-operative Bank Ltd; and Anand M. Golas, Chartered Accountant. However, there is no change in the Administrator, with Shreekant, former Chief General Manager of State Bank of India, continuing in the role.

The RBI stated that it is closely monitoring the situation and will take necessary steps in the interest of depositors. On February 13, the central bank imposed strict restrictions on New India Cooperative Bank, suspending deposit withdrawals and halting fresh loan disbursements. The following day, the bank’s board was superseded, and an administrator was appointed. Meanwhile, the Deposit Insurance and Credit Guarantee Corporation (DICGC) has begun processing claim settlements, expected to be completed by May 14, 2025.

In the wake of RBI’s actions, Mumbai Police registered a case against the bank’s General Manager, Head of Accounts, and their associates for allegedly embezzling ?122 crore. Subsequently, the Economic Offences Wing (EOW) also arrested the former CEO of the bank.

In a partial relief to depositors of the fraud-hit New India Cooperative Bank, the Reserve Bank of India (RBI) has permitted withdrawals of up to Rs 25,000 starting February 27. This relaxation will enable more than 50% of the bank’s depositors to withdraw their entire balances, while the remaining depositors can access up to Rs 25,000 from their accounts. The withdrawals can be made through the bank’s branches and ATMs, subject to an upper limit of Rs 25,000 per depositor or their available account balance, whichever is lower. Additionally, the RBI has reconstituted the Committee of Advisors (CoA) to the Administrator, effective February 25. The newly appointed CoA members include Ravindra Sapra, former General Manager of State Bank of India; Ravindra Tukaram Chavan, former Deputy CGM of Saraswat Co-operative Bank Ltd; and Anand M. Golas, Chartered Accountant. However, there is no change in the Administrator, with Shreekant, former Chief General Manager of State Bank of India, continuing in the role. The RBI stated that it is closely monitoring the situation and will take necessary steps in the interest of depositors. On February 13, the central bank imposed strict restrictions on New India Cooperative Bank, suspending deposit withdrawals and halting fresh loan disbursements. The following day, the bank’s board was superseded, and an administrator was appointed. Meanwhile, the Deposit Insurance and Credit Guarantee Corporation (DICGC) has begun processing claim settlements, expected to be completed by May 14, 2025. In the wake of RBI’s actions, Mumbai Police registered a case against the bank’s General Manager, Head of Accounts, and their associates for allegedly embezzling ?122 crore. Subsequently, the Economic Offences Wing (EOW) also arrested the former CEO of the bank.

Next Story
Real Estate

DLF Returns to Mumbai with Premium Andheri Residential Project

Delhi-NCR based real estate major DLF announced its return to the Mumbai market on 17 July with the launch of its premium residential project, The WestPark, in Andheri. The first phase includes 416 apartments spread across four towers, with two towers launched on the announcement day. The company plans to invest over Rs 8 billion in the project and expects a topline exceeding Rs 20 billion from Phase 1.“We have launched two towers and, given the strong response, plan to unveil the remaining two towers ahead of schedule, within the next few days,” said Aakash Ohri, Joint Managing Director o..

Next Story
Infrastructure Urban

APCRDA Advances Net Zero Goal with IGBC Training for Officials

In a significant stride towards Andhra Pradesh’s Net Zero target by 2040 and the Swarna Andhra 2047 vision, the Andhra Pradesh Capital Region Development Authority (APCRDA), in partnership with the Indian Green Building Council (IGBC), conducted a high-level capacity-building programme for senior officials in Vijayawada on Friday.Held at a city hotel, the session saw the participation of over 50 senior APCRDA officials, including the Engineer-in-Chief, Chief Engineer (H&B), Director (Planning), Director (Environment), and heads of key departments. The training centred on IGBC’s Green B..

Next Story
Infrastructure Energy

Assam Solar Project Halted as Waaree EPC Contract Is Cancelled

Following the Assam government’s withdrawal from its proposed solar project, the Engineering, Procurement, and Construction (EPC) contract awarded to Waaree Renewable has been suspended. Waaree Group’s EPC division informed the stock exchange of this development through a regulatory filing.The Assam solar project was suspended due to funding challenges, which rendered the initiative unviable for the state government. Waaree Renewable Transmission Limited (RTL) explained that the Government of Assam has withdrawn the project’s funding via the Asian Development Bank (ADB) loan. Consequentl..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?