Page 5 - Urban Cooperative Banks

RBI revises norms for faster resolution of Urban Co-op Banks' bad assets

The move comes in the backdrop of the scam in Punjab and Maharashtra Cooperative (PMC) Bank causing distress to over 9 lakh depositors

RBI says UCBs with deposits of over Rs 100 cr should be run professionally

These UCBs must obtain prior approval of the RBI for appointing the CEO

Third-party ATM switch ASPs to comply with cybersecurity controls: RBI

The RBI-regulated entities have to amend their contracts at the earliest or at the time of renewal, in any case not later than March 31, 2020

RBI asks UCBs with deposits of over Rs 100 cr to form Board of Management

The BoM will be constituted by the Board of Directors (BoD) of the UCBs concerned within one year, the RBI said

RBI wants urban cooperative banks to focus mainly on priority sector

UCBs' target for priority-sector lending has been proposed at 75 per cent of their credit from 40 per cent now

UCBs need to address weak governance, slow tech adoption, says RBI report

The sector faces increasing competition from not only scheduled commercial banks (SCBs) but also from small finance banks and payments banks.

RBI considers extending bank-like vigil on NBFCs, cooperative banks

These entities will have to reveal divergence in provisioning during auditing

What happens when a co-op bank comes under banking act?

The only conversion to date of an urban co-operative bank into a commercial bank is DCB Bank in 1996, which was however not a forced one

Managing urban co-op banks

Changing the regulatory structure alone won't be enough

Co-op banks may come under banking act, forced conversion not ruled out

In the revised scheme, the inspection of the UCBs solely under the Banking Regulation Act will be done by the central bank

RBI monetary policy review: Client exposure norms for UCBs to be tightened

The RBI said it would amend the guidelines for UCBs to reduce concentration risk in exposures

Urban cooperative banks' business size may be capped at Rs 20,000 cr

R Gandhi and Y H Malegam report to be the bedrock of new guidelines

Lack of ICA to hit PMC Bank's HDIL exposure

It is not clear as to where PMC Bank stands in the pecking order for recovery of its dues from HDIL, worth Rs 6,500 crore

Did not know about loans to HDIL, says PMC Bank director in bail plea

Surjit Singh Narang, one of the directors of scam-hit Punjab & Maharashtra Cooperative Bank, has claimed in his pre-arrest bail plea in a court here that he was not aware of the loans given by the bank to the HDIL group. The Economic Offences Wing (EOW) of Mumbai Police has arrested five persons in the Rs 4,355 crore PMC Bank scam, including promoters of realty group HDIL and top bank officials. Narang (71) has filed an anticipatory bail application before additional sessions judge S T Soor here. The FIR registered by the EOW did not name him, but it was "wide enough" to include him, his plea said. He was one of the promoters and share-holders of the bank, but not involved in its "day-to-day operations", it said. He was not aware of the loans given to HDIL, and there was nothing to show that he was connected with alleged "falsification of records and concealment of information" (to hide these loans), Narang said. As per the EOW, the bank management concealed from the banking ...

Lessons from PMC: Why govt is responsible for co-operative bank crises

At no time has it made customers aware of any additional risk in such banks, over scheduled commercial banks

How safe is your money with Indian banks?

Either the DICGC cover should be raised or we need an independent resolution body to protect depositors. The FRDI Bill can ensure that

Tax benefit to cooperatives should go

Return to societies from cooperative banks is almost double that from commercial banks

PMC Bank scam: Ex-director sent in police custody till October 22

The court also remanded the bank's former managing director Joy Thomas in 14-day judicial custody, after his police remand ended on Thursday

Letter to BS: Dual regulation of urban cooperative banks must end

It is time the interests of depositors, who are often pensioners, salaried persons and small businessmen, are rigorously protected

How to fix the PMC Bank crisis

What we need is a simple principle to be applied here: All deposit-taking organisations should come under the sole supervision of the RBI