RBI licensed this bank cancell, you also have an account, what will happen to the money deposited? – Cross Talk India
The Reserve Bank of India on Tuesday canceled the license of Ajanta Urban Co-operative Bank, Aurangabad, due to lack of adequate capital and earning possibilities with the bank. According to PTI news, the Reserve Bank of India (RBI) said in a statement that the bank will stop doing banking business on Tuesday (April 22, 2025). The registrar of cooperative societies of Maharashtra has also been requested to issue an order to close the bank and appoint a liquidator for the bank.
Will be able to claim up to Rs 5 lakh
According to the news, on liquidation, every depositor will be entitled to the deposit insurance and loan guarantee corporation (DICCC) to get the insurance claim amount of its deposit to a monetary limit of Rs 5 lakh. According to data presented by the bank, RBI said that 91.55 percent deposits are entitled to receive the entire amount of their deposit from DICCC. As of April 3, 2025, DICCC has paid Rs 275.22 crore from the total insured deposits.
Harmful to the interests of depositors
Explaining the reasons for canceling the license of Ajanta Urban Co-operative Bank Maryadit, it said that the bank will be unable to pay its current depositors with its current financial condition and if the lender is allowed to do banking business even further, the public interest will be adversely affected. Also, the continuation of the bank is harmful to the interests of its depositors.
Due to the license cancellation, Ajanta Urban Co-operative Bank Maryadit has been banned from doing ‘banking’ business with immediate effect, including other things to accept deposits and repay the deposits.
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