Indian Express reports Baripada Urban Cooperative Bank (BUCB)’s financial crisis in 2014 led to RBI cancelling the bank’s licence. As the bank has yet to be re-issued the licence the bank’s depositors are facing problems.
The bank’s crisis continues despite assurances given by the Odisha chief minister.
According to the report, the bank has Rs 71.62 crore in deposits but its 74, 000 depositors could not withdraw their money.
However, the Baripada unit of the opposition BJP has charged that most of the people who took loans from the bank belonged to the ruling party BJD and their defaulting on loans has given rise to the crisis.