
- As per the Directions, the depositors of the Mumbai based PMC Bank are not allowed to withdraw amount exceeding Rs 1,000 of the total balance in a savings account/current account or deposit account.
- Other restrictions put on the PMC Bank by RBI are:
- The bank cannot grant or renew any loans and advances.
- Can’t make any investment.
- Can’t incur liability including borrowal of funds.
- Can’t do acceptance of fresh deposits, without prior approval in writing from the Reserve Bank.
- Not be able to disburse or agree to any payment towards its liabilities and obligations.
- Enter into any compromise or arrangement.
- Sell, and transfer or dispose of any of its properties or assets.
- The directions are to remain in force for 6 months from the close of business of the bank.
- RBI has said that the direction is not be construed as a cancellation of a banking licence.
Question:
Q.1 Which bank has been recently put under Directions by the RBI?a. Allahabad Bank
b. Punjab National Bank
c. Bank of Baroda
d. Punjab and Maharashtra Cooperative Bank