On Saturday, the reserve bank of India has stated that they have extended the regulatory restrictions on Punjab and Maharashtra Cooperative bank for more three months till June 22nd,2020.
The bank had out a restriction of six month on the bank on 23rd September,2019 as they got to know about the financial irregularities.
The RBI said- “It is hereby notified for the information of the public that the validity of the directive dated September 23, 2019, as modified from time to time, has been extended for a further period of three months from March 23, 2020 to June 22, 2020, subject to review,”
RBI has released a release stating- “Nevertheless, in the interest of the depositors and the stability of the cooperative banking sector, the RBI, in consultation with various stakeholders and authorities, is trying to work out a scheme for revival of the bank,”.
The bank is also discussing the same with the authorities to bring a better idea and solution in terms of recovering the loan.