New Delhi: Reserve Bank of India has imposed several restrictions on New India Co-operative Bank and also superseded its board citing poor governance standards. The RBI barred it from issuing new loans and slapped suspension of deposit withdrawals for six months.

Speaking exclusively to News9, Adhil Shetty, CEO, BankBazaar.com, said the RBI has directed the New India Co-operative Bank to halt all financial operations, including granting loans, renewing advances, making investments, and disbursing payments, without prior approval for the next six months. Consequently, customers are currently unable to withdraw funds from their accounts.

Replying to a query about what can the depositors do to get back their money entrusted with the co-op bank, Shetty said, “The RBI and the government has always prioritised protecting customer interests in such eventualities. Banks are covered by insurance, and deposit........

© News9Live