RBI: Big blow to Banarasi babus, license of this bank revoked.

Reserve Bank action: Banarasi babus living in Shankar's city of Kashi have suffered a lot. The Reserve Bank of India (RBI) has canceled the license of Banaras Mercantile State Bank of Varanasi, Baba's city. The central bank, the Reserve Bank, revoked the license of the co-operative bank due to deteriorating financial condition. Banaras Mercantile Cooperative Bank has been closed since July 4. While canceling the license of Banaras Mercantile Co-operative Bank, RBI said that the bank's license has been canceled due to deteriorating financial situation. Now this bank will cease banking business on July 4, 2024 after business hours. On behalf of the RBI, a request has been made to the Uttar Pradesh Co-operative Commissioner and Registrar of Co-operative Societies to close the bank and appoint a liquidator. If the bank is closed, the customers will have to pay Rs. 5 lakh, according to data provided by Banaras Mercantile Bank, 99.98 per cent of depositors have received their deposits through the Deposit Insurance and Credit Guarantee Corporation (DICGC). You are entitled to your full deposit. On liquidation, each depositor shall be entitled to receive a deposit insurance claim amount up to five lakh rupees on his deposit from DICGC. Also Read: RBI Says Banaras Mercantile Co-operative Bank Inadequate Capital Falls 475 Points In Early Trade Continuity of operations of this bank is not in the interests of its depositors. The central bank has said that due to the current financial situation, the bank will not be able to pay its depositors in full. DICGC has already disbursed Rs 4.25 crore in total insured deposits under the provisions of the DICGC Act up to April 30, 2024, based on the preference received from the respective depositors of the bank. Also Read: ITR Filing: How Much Do Chartered Accountants Charge For Filling ITR Form? The post RBI: Banarasi Babu's license revoked appeared first on Prabhat Khabar.