The Reserve Bank of India has extended the Directions issued to the Indian Mercantile Co-operative Bank Ltd., Lucknow for a further period of six months up to September 11, 2016, subject to review. The bank has been under directions since June 12, 2014.
The aforesaid directive has been modified and its validity extended vide RBI directives dated July 30, 2014, December 8, 2014, June 2, 2015, September 7, 2015, October 19, 2015 and December 07, 2015. The validity of the directive, which was last extended up to March 11, 2016 has further been extended for a period of six months from March 12, 2016 to September 11, 2016 vide modified directive dated March 04, 2016, subject to review, read a RBI press release.
The other terms and conditions of the directive under reference shall remain unchanged. A copy of the directive dated March 04, 2016 is displayed at the bank’s premises for the perusal of public, it said.
The modification of the directive by the Reserve Bank should per se not be construed as improvement or deterioration in the financial position of the bank. The Reserve Bank may consider modifications of the directive depending upon circumstances, the apex Bank added.