Mahamedha Urban Co-operative Bank Ltd., Ghaziabad

RBI cancelled the licence of Mahamedha Urban Co-operative Bank Ltd., Ghaziabad, Uttar Pradesh. The bank can no longer conduct banking business or accept and repay deposits.

The bank must cease banking operations from the effective date, and customers are affected because deposits cannot be accepted or repaid through normal banking business. The restriction is permanent unless later restored through a separate regulatory action.

• Section 22 of the Banking Regulation Act, 1949
• Section 56 of the Banking Regulation Act, 1949
• Section 5(b) of the Banking Regulation Act, 1949

RBI extended the Section 35A directions on Mahamedha Urban Co-operative Bank Ltd., Ghaziabad, for one more month until August 29, 2017. The order remains under review.

The bank continues to operate under RBI-imposed Section 35A restrictions through August 29, 2017, subject to further review and possible modification. The directions affect the bank's operations and its customers, who remain subject to the constraints of the existing order.

• Section 35A of the Banking Regulation Act, 1949 (AACS)

RBI extended the existing Section 35A directions on The Mahamedha Urban Co-operative Bank Ltd., Ghaziabad, for six more months. The bank remains under the same restrictions, subject to review.

The bank continues to operate under RBI-imposed restrictions under Section 35A, and any affected depositors or counterparties remain subject to those operational limits. RBI may further modify the directions depending on circumstances, so the restrictions could be continued or adjusted again at review.

• Section 35A of the Banking Regulation Act, 1949 (AACS)

RBI placed Mahamedha Urban Co-operative Bank Ltd., Ghaziabad under operating restrictions under Section 35A. The bank faces caps on withdrawals and cannot freely lend, invest, or accept fresh deposits without RBI approval.

The bank must operate under strict RBI-imposed conditions, limiting lending, deposit-taking, payments, liability creation, and asset disposal. Depositors are affected by the withdrawal cap, and borrowers/sureties may see account adjustments against liabilities. The restrictions remain effective from July 29, 2016 for six months unless modified or reviewed by RBI.

• sub-section (1) of Section 35A of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies) read with Section 56 of the Banking Regulation Act, 1949