Depositors of a Maha co-op bank can withdraw only Rs 1,000: RBI

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Depositors of Shatabdi Mahila Sahakari Bank of Thane in Maharashtra can withdraw only Rs 1,000 of their total balance, as per RBI's directions in view of the financial position of the bank.

"The Reserve Bank of India has issued certain Directions to Shatabdi Mahila Sahakari Bank. Under the directions, depositors will be allowed to withdraw only Rs 1,000 of the total balance in every savings bank or current account or any other deposit account," the apex bank said in a release today.

Further, RBI has also restrained the bank from granting or renewing any loans and advances, making any investment, incurring any liability including borrowal of funds and acceptance of fresh deposits, disbursing or agreeing to disburse any payment.

RBI has also put curbs on operations such as entering any compromise or arrangement and selling, transferring or otherwise disposing of any of its properties or assets.

"It can do so only with prior approval in writing from the Reserve Bank of India," the release said.

RBI also clarified that its directions should not per se be construed as cancellation of its banking licence as the bank will continue to undertake banking business with restrictions till its financial position improves.

The Reserve Bank may consider modifications of these directions depending upon circumstances, it added.

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