Rajesh Satam
This is with reference to the recent restrictions imposed on CKP bank by RBI, I am sure RBI must have put similar restrictions in the past on other co operative banks.
I would like to know if such restrictions had ever been removed by rbi for any bank or all such banks were later reported sick and investors had lost money deposited in such banks.
I C Naik
Reserve Bank is to protect interests of Members of public against delinquent board members as normally that happens in Cooperative banks. If the bank management improves the working of the bank and come out of risks of deposits of members the RBI does lift restrictions. If that was not to be the Bank Licenses would be cancelled and Registrar of co-operative society would proceed towards closure and deregistration.