RBI Allows PMC Bank Depositors To Withdraw Up To Rs 1 Lakh

RBI Allows PMC Bank Depositors To Withdraw Up To Rs 1 Lakh
RBI Allows PMC Bank Depositors To Withdraw Up To Rs 1 Lakh
PTI - 20 June 2020

Mumbai, June 19:In a relief to the depositors of the scam-hit PMC Bank, the RBI on Friday enhanced the withdrawal limit to Rs 1 lakh to mitigate their difficulties during COVID pandemic but extended the regulatory restrictions on the cooperative bank by another six months till December 22.

The new withdrawl limit of Rs 1 lakh per depositor is inclusive of the earlier withdrawal limit of Rs 50,000 per depositor of the multi-state cooperative bank, according to an RBI release.

The RBI also enchanced withdrawal limits for depositors of four other cooperative banks under regulatory restrictions, including Sri Guru Raghavendra Sahakara Bank Niyamitha, Bengaluru, and Kolhapur-based Youth Development Cooperative Bank Limited, according to separate RBI releases.

The Reserve Bank had placed regulatory curbs on the Punjab and Maharashtra Cooperative Bank (PMC) Limited, Mumbai, on September 23, 2019, after finding out certain financial irregularities, hiding and misreporting of loans given to real estate developer HDIL.

With the latest enhancement of withdrawal limit, the RBI said more than 84 per cent of the depositors of the PMC Bank will be able to withdraw their entire account balance. As on 23 September, 2019 (date of imposition of RBI directions), total depositors of the bank were 9,15,775.

The withdrawal limit was last enhanced to Rs 50,000 per depositor on November 5, 2019. The restrictions were last extended upto June 22,

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