+
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 The following day, the bank’s board was superseded, and an administrator was appointed.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.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

NABARD Holds Seminar on Vigilance, Integrity and Good Governance

National Bank for Agriculture and Rural Development (NABARD) organised a seminar on “Vigilance: Strengthening Integrity and Good Governance” on 25 August 2026 at its Head Office in Mumbai as part of the ongoing Vigilance Awareness Campaign 2026 being observed from 17 August to 16 November 2026, with the theme “Probity for Prosperity."" The seminar was graced by Suresh N Patel, Former Central Vigilance Commissioner, Government of India, as the chief guest and keynote speaker.  The programme was attended by G S Rawat, Deputy Managing Director, Dr Ajay K Sood, Deputy Managing Dire..

Next Story
Equipment

XCMG Unveils World's First 14,000-Ton Ring Crane for Heavy Lifting

XCMG has announced that the first main unit of the world's first 14,000-ton ring crane has rolled off the production line, marking a historic breakthrough in ultra-heavy lifting technology. Jointly developed by XCMG and Sinopec Heavy Lifting & Transportation Co., Ltd., the crane will be the largest-capacity ring crane ever built, setting a new benchmark for major construction projects worldwide.The crane features a modular configuration comprising two main units that work in tandem. The first main unit has completed final assembly and can independently perform lifting operations. Once both..

Next Story
Infrastructure Urban

Thriveni Logistics orders 200 tip trailers from Jagdamba trailers

Jagdamba Trailers (JTPL), one of India’s growing trailer manufacturers, has secured a significant order for 200 Tip Trailers from Thriveni Transport and Logistics Pvt. Ltd., a leading mining and logistics company serving operations across India and overseas.The order, placed for iron ore transportation, is a major milestone for JTPL, particularly as the company secured the business after competing with more than 10 established trailer manufacturers. It also strengthens an already successful relationship between the two companies. Approximately one and a half years ago, Thriveni Transport and..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code