The Kapol Co-operative Bank Ltd, Mumbai, Maharashtra, was placed under directions vide directive dated March 30, 2017, from close of business March 30, 2017. The validity of the directions was extended from time to time vide subsequent Directives, the last being Directive dated March 20, 2018 and was valid upto July 31, 2018 subject to review.
In a press release RBI said “ It is hereby notified for the information of the public that, the Reserve Bank of India, in exercise of powers vested in it under sub-section (1) of Section 35A read with Section 56 of the Banking Regulation Act, 1949, hereby directs that the Directive dated March 30, 2017, as modified from time to time, issued to the above bank, the validity of which was last extended upto July 31, 2018 shall continue to apply to the bank for a further period of six months from August 01, 2018 to January 31, 2019, vide Directive dated July 23, 2018 subject to review.
A copy of the directive dated July 23, 2018 notifying the above extension is displayed at the bank’s premises for the perusal of public.
The aforesaid extension and/or modification by the Reserve Bank of India should not per-se be construed to imply that Reserve Bank of India is satisfied of substantive improvement in the financial position of the bank.