RBI cancels the licence of Pune's Rupee Co-operative Bank

New Delhi: The Reserve Bank of India on Wednesday said it has cancelled the licence of Pune-based Rupee Co-operative Bank Ltd as the lender does not have adequate capital and earning prospects.

However, the RBI said that in compliance with an order of the High Court of Bombay, its direction will become effective after six weeks from Wednesday.

“Consequently, the bank will cease to carry on banking business, with effect from September 22, 2022,” it said.

As per the data submitted by the cooperative bank, more than 99 percent of the depositors are entitled to receive the full amount of their deposits from Deposit Insurance and Credit Guarantee Corporation (DICGC).