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RBI supersedes board of directors of New India Co-operative Bank; customers panic
February 15, 2025
|The Statesman
The Reserve Bank of India (RBI) has superseded the Board of Directors of New India Co-operative Bank for 12 months, citing poor governance standards.
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The move comes a day after imposing restrictions on the Mumbai-based Co-operative Bank. "In exercise of the powers conferred under Section 36 AAA read with section 56 of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies), the Reserve Bank has today superseded the Board of Directors of New India Cooperative Bank Ltd, Mumbai, for a period of 12 months," the RBI said in a statement. Further, the RBI has appointed Shreekant, a former chief general manager of the State Bank of India (SBI), as the administrator to manage the bank's affairs.
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