Indian Cooperative keeps receiving hundreds of mails from helpless depositors from across the states related to co-op banking. It is not possible for us to publish story of an individual’s loss, some of the complaints are generic and voice the grievances of many people. Here is an example
Excerpts:
Dear Indian Cooperative Team,
We are writing this mail as a group of 3 people who are senior citizens based out from Mumbai, who had our accounts (Savings, Deposit) and our money deposits in Sahebrao Deshmukh Cooperative Bank (SDC Bank) which was placed under RBI Section 35-A Restriction since 2022 July / August.
Since then we have been waiting a long time for us to get our deposits back in the hopes of DICGC Insurance but that is not happening.
Afterwards, we came across an Article ( https://www.indiancooperative.com/banks/cosmos-bank-special-general-meeting-okays-merger-of-two-ucbs/ ) in your website which stated that SDC Bank & Maratha Sahakari Bank was supposed to be amalgamated into Cosmos Bank. In the same article it is also mentioned that the said proposal to merge both (Maratha Sahakari & SDC Bank) is sent to RBI for approval.
But recently, we got to know that, Merger of Maratha Sahakari Bank was done into COSMOS Bank but not SDC Bank.
We request you to please let us know the following,
1- What’s the status of SDC Bank now?
2- Why the merger of SDC Bank into Cosmos is not happening yet?
3- What’s the reason for the delay in this merger?
4- When would we get to know the approximate merger time of SDC Bank into Cosmos Bank?
5- If the proposal of merger of both Maratha Sahakari & SDC Bank is sent to RBI, Why did RBI only accept the merger of Maratha Sahakari into COSMOS Bank and not SDC Bank?
We request you to please let us know the update as we all have deposited our funds into these accounts and now are unable to use them. Some of us are facing emergency medical issues but are unable to use their savings even though they have them and are forced to take out loans or borrow for the treatment.
We hope you’ll help us in this regard
A helpless depositors