The Vaishali Shahari Vikas Co-operative Bank Ltd., Hajipur, Dist. Vaishali

RBI cancelled the licence of The Vaishali Shahari Vikas Co-operative Bank Ltd., Hajipur, effective December 30, 2024. The bank must stop carrying on banking business.

With effect from the close of business on December 30, 2024, the bank cannot conduct banking business, including accepting or repaying deposits. The Registrar of Cooperative Societies, Bihar has been asked to move for winding up and appoint a liquidator. Depositors may claim deposit insurance up to ₹5,00,000 per depositor subject to DICGC provisions; the release says 98.47% of depositors are entitled to receive full amounts from DICGC.

• Section 11(1) of the Banking Regulation Act, 1949
• Section 22(3)(d) read with Section 56 of the Banking Regulation Act, 1949
• Sections 22(3)(a), 22(3)(b), 22(3)(c), 22(3)(d) and 22(3)(e) read with Section 56 of the Banking Regulation Act, 1949

+2 more in the case brief

RBI has extended its existing Section 35A directions against Vaishali Shahari Vikas Co-operative Bank Ltd. for another three months. The order continues unchanged until March 14, 2025.

The bank remains subject to the same RBI operational restrictions for the extended period, with no change in terms. The restrictions continue to bind the bank’s operations until close of business on March 14, 2025, subject to further review.

• 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 has extended its Section 35A directions against Vaishali Shahari Vikas Co-operative Bank Ltd. for another three months. The existing terms continue unchanged until June 14, 2024, subject to review.

The bank remains under RBI operating directions through June 14, 2024, subject to review. Its operations continue to be constrained by the existing conditions, which may affect customers and counterparties depending on the content of the underlying directive.

• 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