The Shri Siddhi Vinayak Nagari Sahakari Bank at Rasayani in the Raigad District of Maharashtra had ceased to be solvent. All efforts to revive it in close consultation with the Government of Maharashtra had failed.
The depositors were being inconvenienced by continued uncertainty, the Reserve Bank of India (RBI) delivered the order cancelling its licence to the bank and the same is effective from the close of business as on September 25, 2013.
The Registrar of Co-operative Societies, Maharashtra has also been requested to issue an order for winding up the bank and appoint a liquidator for the bank.
It may be highlighted that on liquidation, every depositor is entitled to repayment of his/her deposits up to a monetary ceiling of Rupees One lakh from the Deposit Insurance and Credit Guarantee Corporation (DICGC) under usual terms and conditions.
The bank was granted a licence by RBI on January 7, 1995 to commence banking business. The major financial indicators of the bank with reference to its financial position as on March 31, 2010, March 31, 2011 and March 31, 2012 gave enough hint of its inability to revive.