The Reserve Bank of India has placed the Shivam Sahakari Bank Ltd., Ichalkaranji, Dist : Kolhapur, Maharashtra, under Directions. According to the Directions, depositors will be allowed to withdraw a sum not exceeding Rs 1000, among other things.
The Directions have been issued last month from the close of business on May 19, 2018.
The issue of the directions by the Reserve bank should not, per se, be construed as cancellation of banking licence by the Reserve Bank, the press release from RBI clarifies. A copy of the directions is displayed at the bank’s premises for perusal by interested members of public.
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.
