Recorded RBI impact
Extension
Business restriction · Extension
Published by RBI
7 Mar 2018
Case Brief
RBI notified an extension of the directions issued under section 35A read with section 56 of the Banking Regulation Act, 1949 against Alwar Urban Co-operative Bank Ltd., Alwar (Rajasthan). The bank’s directions, originally effective from March 8, 2017 and earlier extended to March 7, 2018, were continued for a further four months from March 8, 2018 to July 7, 2018, subject to review. The release states that all other terms and conditions of the directives remain unchanged.
Why RBI Acted
Under section 35A read with section 56 of the Banking Regulation Act, 1949, RBI extended the period of operation of the directions earlier issued to Alwar Urban Co-operative Bank Ltd., Alwar (Rajasthan). The directions, initially effective from March 8, 2017 and previously extended up to March 7, 2018, were continued for a further four months from March 8, 2018 to July 7, 2018, subject to review. No other terms or conditions were changed.
Operating Impact
The bank remains subject to the existing RBI operating restrictions through July 7, 2018, unless reviewed earlier. Customers and counterparties must continue to comply with the same conditions already imposed under the directions.
Regulatory Basis
- sub-section (1) of section 35 A read with Section 56 of the Banking Regulation Act, 1949
Action Facts
- Primary Impact
- Extension
- Order Date
- 1 Mar 2018
- Effective From
- 8 Mar 2018
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- Co-operative bank