RBI cancels licence of Dhule-based NBFC
10/09/2014 16:58
The Reserve Bank of India on Wednesday announced it has canceled the licence of The Merchants’ Co-operative Bank Ltd., Dhule, Maharashtra, with effective from August 30, 2014. “In view of the fact that The Merchants’ Co-operative Bank Ltd., Dhule (Maharashtra), had ceased to be solvent, all efforts to revive it in close consultation with the Government of Maharashtra had failed and the depositors were being inconvenienced by continued uncertainty, the RBI delivered the order cancelling its licence to the bank and the same is effective from the close of business as on August 30, 2014,” the central bank said in a press release. Consequent to the cancellation of its licence, The Merchants’ Co-operative Bank Ltd., Dhule (Maharashtra) is prohibited from carrying on ‘banking business’, the release said. The Registrar of Co-operative Societies, Maharashtra has also been requested to issue an order for winding up the bank and appoint a liquidator for the bank. “It may be highlighted that on liquidation, every depositor is entitled to repayment of his/her deposits up to a monetary ceiling of Rs 1,00,000 from the Deposit Insurance and Credit Guarantee Corporation (DICGC) under usual terms and conditions,” the release highlighted. The bank was granted a licence by RBI on July 11, 1986 to commence banking business.
10/09/2014 16:58
The Reserve Bank of India on Wednesday announced it has canceled the licence of The Merchants’ Co-operative Bank Ltd., Dhule, Maharashtra, with effective from August 30, 2014. “In view of the fact that The Merchants’ Co-operative Bank Ltd., Dhule (Maharashtra), had ceased to be solvent, all efforts to revive it in close consultation with the Government of Maharashtra had failed and the depositors were being inconvenienced by continued uncertainty, the RBI delivered the order cancelling its licence to the bank and the same is effective from the close of business as on August 30, 2014,” the central bank said in a press release. Consequent to the cancellation of its licence, The Merchants’ Co-operative Bank Ltd., Dhule (Maharashtra) is prohibited from carrying on ‘banking business’, the release said. The Registrar of Co-operative Societies, Maharashtra has also been requested to issue an order for winding up the bank and appoint a liquidator for the bank. “It may be highlighted that on liquidation, every depositor is entitled to repayment of his/her deposits up to a monetary ceiling of Rs 1,00,000 from the Deposit Insurance and Credit Guarantee Corporation (DICGC) under usual terms and conditions,” the release highlighted. The bank was granted a licence by RBI on July 11, 1986 to commence banking business.
