Case Brief
What Happened
The Reserve Bank of India has extended, for a further three months from December 18, 2020 to March 17, 2021, the directions earlier issued to Padmashri Dr. Vitthalrao Vikhe Patil Co-operative Bank Ltd., Nashik, Maharashtra under Section 35A read with Section 56 of the Banking Regulation Act, 1949 (AACS). These directions had been in force since May 19, 2018 and were last extended up to December 17, 2020. The order continues restrictions and/or ceilings on withdrawal and acceptance of deposits, while clarifying that it is not a cancellation of the bank’s licence. The bank may continue to conduct banking business, but only subject to the restrictions in place and future review by RBI.