Happy Dussehra - DUSSEHRA24

Join Here

RBI Imposed a moratorium on Lakshmi Vilas Bank

Published on November 19, 2020
Current Context: The Reserve Bank of India has imposed a moratorium on Lakshmi Vilas Bank (LVB).
RBI Imposed a moratorium on Lakshmi Vilas Bank
  • The moratorium is applied for a period of 1 month.
  • RBI has put a restriction of Rs 25,000 on withdrawals from the bank, due to serious deterioration in lender’s financial position.
  • Also, the RBI has superseded the BODs of LVB for 1 month. For this, RBI has appointed T N Manoharan as Administrator of LVB.
  • This moratorium is imposed under section 45 of the Banking Regulation Act,1949.
  • Also, RBI has released a draft describing a scheme of amalgamation for LVB with DBS Bank India Ltd. 
  • The central bank aims to complete this merger process before the moratorium period ends.
  • Static Part: 
    • HQ of RBI: Mumbai
    • Governor of RBI: Shaktikanta Das.
    • Deputy Governors of RBI: BP Kanungo, MK Jain, MD Patra and Rajeshwar Rao.
    • HQ of LVB: Chennai, Tamil Nadu

Question: 

Q.1 Recently, RBI has imposed moratorium of 1 month on which of the following bank?
a. Dhanlaxmi Bank
b. City Union Bank
c. Karur Vyasa Bank
d. Lakshmi Vilas Bank (LVB)
ebook store

About Me

Ramandeep Singh

Ramandeep Singh - Educator

I'm Ramandeep Singh, your guide to banking and insurance exams. With 14 years of experience and over 5000 successful selections, I understand the path to success firsthand, having transitioned from Dena Bank and SBI. I'm passionate about helping you achieve your banking and insurance dreams.

  • Follow me:
Close Menu
Close Menu