Satisfied with the performance of Hindu Cooperative Bank Limited, Pathankot, the Reserve Bank of India has withdrawn Directions on the UCB, issued for the first time in March 2019, for a change.
The withdrawal has heartened Nafcub President Jyotindra Mehta who made some positive comments “. Sharing the news as a piece of good news Mehta felt that such news items should grab the media’s attention.
In a press release RBI says “The Reserve Bank of India, on being satisfied that in the public interest it is necessary to do so, in the exercise of the powers vested in it under sub-section (2) of Section 35 A read with Section 56 of the Banking Regulation Act, 1949, hereby, withdraws with effect from close of business on October 14, 2021, the said Directions so issued to Hindu Cooperative Bank Limited, Pathankot, Punjab.”
A copy of the Directive is displayed in the bank’s premises for perusal by interested members of the public, says the release.
The Reserve Bank of India had issued a Direction to Hindu Cooperative Bank Ltd., Pathankot, Punjab, vide Directive dated March 13, 2019, as modified from time to time, which was last extended up to October 24, 2021.
But the happiness of Mehta and likes could not be sustained as RBI, as one after the other extended directions on three UCBs subsequently.
One of these is Mantha Urban Co-operative Bank based in Jalna, Maharashtra. The Reserve Bank of India has now further extended the Directions for a period of two months from October 17, 2021 to December 16, 2021, subject to review.
Another bank in the list is the City Co-operative Bank Ltd, Mumbai which was placed under Directions from the close of business on April 17, 2018. The validity of the directions was extended from time-to-time, the last being up to October 16, 2021. And now it has been extended till January 16, 2022.
