Reserve Bank of India, in the public interest, had issued Directions to Bhagyodaya Friends Urban Co-operative Bank Ltd., Warud, District- Amravati, Maharashtra in exercise of powers vested in it under sub-section (1) of Section 35 A of the Banking Regulation Act, 1949 (AACS) read with Section 56 of the Banking Regulation Act, 1949 from the close of business on January 17, 2019. The validity of the above Directions was extended from time to time up to August 17, 2020. Reserve Bank of India has now further extended the Directions for a period of two months up to October 17, 2020, subject to review. The Directions stipulate certain restrictions and/or ceiling on withdrawal/ acceptance of deposits. The detailed Directions are displayed on the bank’s premises for interested members of public to peruse. Reserve Bank of India may consider modifications of the Directions depending upon the circumstances. The issue of Directions should not per se be construed as cancellation of banking license by the Reserve Bank of India. The bank will continue to undertake banking business with restrictions till its financial position improves. (Yogesh Dayal)
Chief General Manager Press Release: 2020-2021/198 | |