RBI extends Directions issued to the Brahmawart Commercial Co-operative Bank Ltd., Kanpur, Uttar Pradesh till July 06, 2016
Case Brief
The Reserve Bank of India extended the Section 35A directions applicable to Brahmawart Commercial Co-operative Bank Ltd., Kanpur, Uttar Pradesh, for three more months, from April 07, 2016 to July 06, 2016, subject to review. The release notes that the bank had already been under these directions since July 07, 2015, and that the directive had previously been modified and extended to April 06, 2016. No change was made to the other terms and conditions of the directive.
The Reserve Bank of India extended the directions issued to Brahmawart Commercial Co-operative Bank Ltd., Kanpur, for a further period from April 07, 2016 to July 06, 2016, subject to review. The release states the bank had been under directions under Section 35A of the Banking Regulation Act, 1949 (AACS) since July 07, 2015, that the earlier directive had already been modified and extended to April 06, 2016, and that the other terms and conditions would remain unchanged.
Severity Assessment
This is an RBI Section 35A directions extension on a co-operative bank, which is treated as a broad business restriction with severity 4.
The bank continues to operate under the RBI’s existing Section 35A restrictions through July 06, 2016, subject to further review and possible modification. The bank, its customers, and counterparties remain affected by the continuing operational constraints until the directions are changed or withdrawn.
Published as Brahmawart Commercial Co-operative Bank Ltd.
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Brahmawart Commercial Co-operative Bank Ltd., Kanpur, Uttar Pradesh
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Business restriction · Extension
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