Why SVC Bank was not in RBI’s list of invitees?

The third largest urban cooperative bank which is headquartered in Mumbai- SVC Bank was not in the RBI list of a select few UCBs invited for consultation. Sarasawat Bank and Pune based Cosmos Bank were there but not the SVC, confirmed a source.

Nafcub President Jyotindra Mehta said “It was RBI which had prepared a list whom to call and whom not to call and Nafcub had no role in it,” he added.

“RBI which monitors the ucbs’ operations in the country is careful in selecting banks and would usually invite them which are above board, said a cooperator on condition of anonymity hinting at surplus in SVC Bank’s coffer in the wake of demonetization as a possible reason for a no-invite.

It bears recall that both ED and RBI were on its trail once it came to light that the SVC Bank has a surplus Rs 500 crore in its account.

The low-level of election campaigning indulged in by its candidates against each other may also have dissuaded RBI from inviting it to the meeting, argued another cooperator. It bears recall that candidates sullied each other’s image on social media during the election which led to negative media coverage.

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