Bank Cancelled License: Reserve Bank has cancelled the license of this bank, Customer withdraws money immediately

RBI Cancelled License of Bank : Reserve Bank has cancelled the license of another bank. Due to cancellation of the license of the bank, the bank cannot do business. It becomes necessary for the customers of such banks to withdraw their money on time.

RBI has cancelled the license of Tezpur-based The Mahabhaira Cooperative Urban Bank due to its deteriorating financial condition. After cancellation of its license, the cooperative bank will stop doing banking business from the close of business on 24 July 2024.

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The bank does not have money for business

In a statement, the Reserve Bank of India (RBI) said that the Registrar of Cooperative Societies Assam has also been requested to issue an order to close the bank and appoint a liquidator. Giving the reason for cancelling the license, RBI said that the bank does not have sufficient capital and earning prospects. According to RBI, the bank will be unable to make full payment to its existing depositors with its current financial position. It said that if the bank does business, it is detrimental to the interest of the depositors.

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Customers can withdraw this much money

Every depositor is entitled to get his money up to Rs 5 lakh from the Deposit Insurance and Credit Guarantee Corporation (DICGC). RBI said that as per the data provided by the cooperative bank, about 99.8 percent of the depositors are entitled to get their full deposit money from DICGC. As of June 13, 2024, DICGC has already paid Rs 20.03 crore of the total insured deposits.

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