Page 2 - Co-operative Bank

United India Co-operative Bank ceases business as RBI cancels license

The Reserve Bank of India (RBI) on Wednesday said it has cancelled the licence of Uttar Pradesh-based United India Co-operative Bank Limited, citing lack of adequate capital and earning prospects. Consequently, the bank ceases to carry on business, with effect from the closing hours on Wednesday, the RBI said in a statement. On liquidation, it said every depositor would be entitled to receive deposit insurance claim amount of his/her deposits up to a ceiling of Rs 5 lakh from the Deposit Insurance and Credit Guarantee Corporation (DICGC). "As per the data submitted by the bank, 99.98 per cent of the depositors are entitled to receive full amount of their deposits from DICGC," it said. Giving reasons for cancellation of the licence, it said United India Co-operative Bank, based out of Bijnor in Uttar Pradesh, does not have adequate capital and earning prospects. "The bank with its present financial position would be unable to pay its present depositors in full," the RBI said, addin

RBI cancels licence of 2 co-operative banks due to inadequate capital

The RBI on Tuesday cancelled the licence of two cooperative banks -- Sri Sharada Mahila Co-operative Bank, Tumkur, Karnataka and Harihareshwar Sahakari Bank, Wai, Satara -- as the lenders do not have adequate capital and earning prospects. Harihareshwar Sahakari Bank ceases to carry on banking business, with effect from the close of business on July 11, 2023, the Reserve Bank of India (RBI) said in a statement. About 99.96 per cent of the depositors of Harihareshwar Sahakari Bank are entitled to receive the full amount of their deposits from Deposit Insurance and Credit Guarantee Corporation (DICGC). In the case of Sri Sharada Mahila Co-operative Bank, about 97.82 per cent of the depositors are entitled to receive the full amount of their deposits from Deposit Insurance and Credit Guarantee Corporation (DICGC). On liquidation, every depositor would be entitled to receive deposit insurance claim amount of his/her deposits of up to Rs 5 lakh from DICGC. Consequent to the cancellatio

RBI cancels licenses of two co-operative banks in Maharashtra, Karnataka

The Reserve Bank of India (RBI) on Wednesday said it has cancelled the banking licenses of two co-operative banks in Maharashtra and Karnataka. The licenses of Malkapur Urban Co-operative Bank Ltd, Buldhana and Shushruti Souharda Sahakara Bank Niyamita, Bengaluru have been cancelled. The two co-operative banks ceased to carry on banking business with effect from the close of business on Wednesday, RBI said in two separate statements. These banks did not have adequate capital and earning prospects, RBI said, adding that with their present financial position, they would be unable to pay their present depositors in full. On liquidation, every depositor would be entitled to receive deposit insurance claim amount of his/her deposits up to Rs 5 lakh from the Deposit Insurance and Credit Guarantee Corporation (DICGC). In the case of Malkapur Urban Co-operative Bank, RBI said as per the data submitted by the bank, 97.60 per cent of the depositors are entitled to receive full amount of the

Maharashtra appoints liquidator to wind up Rupee Cooperative Bank

Over 200 employees risk losing their jobs

Cracking the whip on co-op banks: A look at RBI actions in 2022 so far

Here is a look at the RBI actions on co-op banks in 2022 so far.

RBI imposes fine on 8 urban co-operative banks for breach of various norms

Penalty has been imposed on Mehsana Urban Co-operative Bank for non-compliance with certain provisions of the Reserve Bank of India (Co-operative Banks - Interest Rate on Deposits) Directions, 2016.

Regulator shouldn't view co-op banks with suspicion, says Amit Shah

Central government working to set up a national-level cooperative university

Millath cooperative bank's licence cancelled; depositors to get full amount

Karnataka lender doesn't have adequate capital or earning prospects, says RBI in statement.

RBI imposes penalty on 3 co-op banks for lapses in regulatory compliance

The Reserve Bank of India has imposed a penalty on three cooperative banks, including Nagrik Sahakari Bank Maryadit, Raipur, Chhattisgarh, for deficiencies in regulatory compliances

RBI imposes penalty on 3 co-operative banks for deficiencies in compliance

The Reserve Bank of India (RBI) on Monday said it has imposed penalties on three co-operative banks totalling Rs 5 lakh for deficiencies in regulatory compliance.

RBI extends restrictions on Karnataka's Millath Co-Operative Bank till May

As per the directions issued first on May 10, 2019, withdrawals were capped at Rs 1,000 from any account. The directions have been periodically extended till now.

Co-operative societies can't use 'bank' in their names, says RBI

The RBI on Monday cautioned the public against co-operative societies using 'bank' in their names as well as accepting deposits from people who are not their members.

RBI imposes penalty on 2 co-op banks, 1 NBFC for compliance deficiency

The Reserve Bank of India (RBI) on Thursday said it has imposed penalties on two co-operative banks and a non-banking financial company (NBFC), for deficiencies in certain regulatory compliance.

Statsguru: Performance and challenges of co-operative sector in India

Even though a fifth of these cooperatives are in the financial sector, their share has remained low

RBI proposes tweaks to capital-raising guidelines for urban co-op banks

The UCBs, it said, could raise share capital by issue of equity to persons within their area of operation enrolled as members and also through additional equity shares to the existing members.

Co-operative banks can't outsource core management functions: RBI

The RBI said the lenders can hire experts, including former employees, on a contractual basis subject to certain conditions

Reserve Bank of India imposes Rs 11 lakh penalty on 2 co-op banks

The RBI has imposed penalty totalling Rs 11 lakh on Bijnor Urban Co-operative Bank Limited, Bijnor and National Urban Co-operative Bank Limited, New Delhi for contravention of certain norms

RBI issues guidelines for merging district central co-op banks with state ones

This is subject to various conditions, including that a proposal should be made by the state government concerned.

RBI puts Rs 1,000 withdrawal cap on Deccan Urban Co-op Bank

The Reserve Bank on Friday said it has barred Karnataka-based Deccan Urban Co-operative Bank Ltd from granting fresh loans or accepting deposits

Reserve Bank of India forms expert panel for urban co-operative banks

The RBI has constituted an expert committee under the chairmanship of its former Deputy Governor N S Vishwanathan