The Reserve Bank of India (RBI) has extended the Directions issued to the Mercantile Urban Co-operative Bank Ltd., Meerut for a further period of six months from October 06, 2016 to April 05, 2017, subject to review. The bank has been under directions since October 06, 2015 vide directive dated September 30, 2015 issued under sub-section (1) of Section 35A of the Banking Regulation Act, 1949 (AACS).
The aforesaid directive had been modified / its validity extended vide RBI directive dated March 29, 2016. The validity of the directive, which was last extended up to October 05, 2016 has further been extended for a period of six months from October 06, 2016 to April 05, 2017 vide modified directive dated September 30, 2016, subject to review. The other terms and conditions of the directive under reference shall remain unchanged. A copy of the directive dated September 30, 2016 is displayed at the bank’s premises for the perusal of public.
The modification of the directive by the Reserve Bank should per se not be construed as improvement or deterioration in the financial position of the bank. The Reserve Bank may consider modifications of the directive depending upon circumstances.
Press Release: 2016-2017/863