Case Brief
What Happened
Reserve Bank of India has extended the Section 35A read with Section 56 directions previously issued to Hindu Cooperative Bank Limited, Pathankot, Punjab. The directions, first issued from the close of business on March 25, 2019 and last extended up to March 24, 2021, will now continue from March 25, 2021 to June 24, 2021, subject to review. RBI notes that the bank is still allowed to undertake banking business, but only with restrictions, and that the issuance of directions should not be treated as cancellation of the banking licence.