PMC bank account holders gather after RBI imposes restrictions

Punjab and Maharashtra Cooperative Bank (PMC Bank) account holders have gared on Thursday outside its Sion branch in Mumbai, demanding to remove restrictions,according to ANI. Reserve Bank of India on Wednesday imposed operational restrictions for six months. PMC Bank is t allowed to give out any fresh loans. PMC Bank has a network of 137 branches. It is amongst top-10 Co-Operative Banks in country.

Widespre panic

According to reports, RBI's decision has led to widespre panic and chaos among account holders. Over 900 people h gared outside JTB Branch in Mumbai alone. Reports suggest that every bank received a tification two to three months ago. 

 Re: WhatsApp payment service still awaiting regulatory approval from RBI

Re: RBI to furr cut rates in next month's monetary policy review

Re: RBI excess capital h earlier benefited Congress: Here's how

PMC mits HDIL main reason for crisis

PMC h mitted on Wednesday, that one large account-HDIL was sole reason for present crisis, as per PTI. bank's former managing director Joy Thomas h allayed fears stating all accounts were safe and fully-secured. He said bank has cash liquidity of around Rs 4,000 crore in form of SLR (statutory liquidity ratio) and CRR or cash reserve ratio. But, he mitted that problem arose because of under-reporting of NPAs from HDIL account.

"All or loans are more than fully-secured and re is need for any customer to panic," Thomas told PTI.  He ded, "We have eugh liquidity and back-up securities for all what we have lent. As a cooperative bank, we never do unsecured lending and our loan cover ratio has always been 100-110 percent," Thomas said.  He ded that slum redevelopment company, which has landed in cash crunch, has alrey gone to bankruptcy w, has been delaying payments for past few years.

RBI caps PMC bank withdrawal limits

RBI on Tuesday, imposed operational restrictions on Punjab and Maharashtra Co-operative Bank (PMC Bank), resulting in chaos outside its branches in Mumbai, according to PTI. As per RBI directions to PMC Bank, withdrawals have been capped at Rs 1,000 per account and bank is t allowed to make any fresh loans. RBI has t specified reason for this move.  restrictions will be in force for six months, RBI said.

Re:  HC relief for man denied RBI job over n-matching thumb prints

Re: Paytm and RBI say PIL t weapon to challenge financial decisions

(WITH ANI INPUTS)