The Bhavani Sahakari Bank Ltd., Mumbai

RBI extended its existing directions on The Bhavani Sahakari Bank Ltd., Mumbai for another three months. The restrictions continue unchanged until July 04, 2026, subject to review.

The bank remains under the existing RBI-imposed operational restrictions for the extended period, with the same terms and conditions continuing unchanged. The directive will stay in force until close of business on July 04, 2026, subject to review, affecting the bank's operations and, indirectly, its customers and counterparties.

• Section 35A read with Section 56 of the Banking Regulation Act, 1949
• sub-section (1) of Section 35A read with Section 56 of the Banking Regulation Act, 1949

RBI placed The Bhavani Sahakari Bank Ltd., Mumbai under Section 35A directions restricting core banking operations. The bank cannot extend loans, accept fresh deposits, or allow withdrawals from depositor accounts without RBI approval, subject to limited exceptions.

The bank must operate under strict RBI-imposed limits until the directions are reviewed or modified, which constrains lending, deposit-taking, withdrawals, payments, and asset disposal. Depositors may face inability to withdraw funds except for the permitted limited set-off mechanism, while the bank can still meet specified essential expenses and continue business only within the stated restrictions. The restrictions take effect from the close of business on July 04, 2025 and last for six months unless revised earlier by RBI.

• Section 35A read with Section 56 of the Banking Regulation Act, 1949