Published by: Sahil Vaniya
Bank does not have capital- The central bank said that the bank does not have sufficient capital and also no earning potential, due to which the RBI has taken this decision.
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New Delhi: From time to time many decisions are taken by the Reserve Bank of India regarding banks. Now that RBI has revoked the license of another bank, any customers who have an account with this bank may be inconvenienced. The Reserve Bank of India has canceled the license of ‘The-Kapol Co-operative Bank Limited’.
Bank does not have capital- The central bank said that the bank does not have sufficient capital and also no earning potential, due to which the RBI has taken this decision.
The bank cannot make deposits and withdrawals – The Reserve Bank said in a statement that along with the cancellation of the license, the banking business of the co-operative bank has been immediately banned, including accepting deposits and withdrawing etc.
Order to close the bank- According to the statement, the additional secretary of the Ministry of Cooperatives and the Central Registrar of Cooperative Societies have also been requested to order the closure of the bank and appoint a liquidator for the bank.
Customers will get Rs 5 lakh- The Reserve Bank said that each depositor will be entitled to get a deposit insurance claim amount of up to Rs 5 lakh from the Deposit Insurance and Credit Guarantee Corporation (DICGC). Thus, about 96.09 percent of the bank’s depositors are entitled to get their full deposit amount from DICGC.