Case Brief
What Happened
The Reserve Bank of India has extended, for three months from November 25, 2022 to February 24, 2023, the directions earlier issued to Garha Co-operative Bank Ltd., Guna, Madhya Pradesh under Section 35A read with Section 56 of the Banking Regulation Act, 1949 (AACS). The directions, first issued from the close of business on February 24, 2021 and extended from time to time, continue to impose restrictions and/or ceilings on withdrawal and acceptance of deposits. RBI noted that the bank will continue to undertake banking business with restrictions until its financial position improves, and that the directions may be modified depending on circumstances.