Rupee Co-op Bank gets extension for its banking license till August 31

bank1_bcclPune: Rupee Co-op. Bank, Pune has been granted Extension for its banking license by the RBI till August 31, 2019.

A release from the Bank said: “The Board of Administrators of Rupee Bank is trying to safeguard the interests of its depositors since last three years. RBI has taken a positive note of these efforts and transparent as well as satisfactory performance of the Board of Administrators.”

Rupee Bank has submitted Merger Proposal to Maharashtra State Co-op. Bank Ltd., Mumbai (MSC Bank). The said proposal is under their consideration and BOA is hopeful for the positive response from MSC Bank in this regard.

Considering the recent developments in political and financial sector and the improving financial condition of RCBL, BoA is hopeful to resolve the long pending issue of its depositors.

The Statutory Audit for the FY 2018-19 is recently completed. “There are no adverse remarks in the recently concluded Statutory Audit for the period 2018-19. The BOA has also requested RBI to carry out Annual Inspection of the Bank at earliest. The Bank has paid Rs 332 crores to Rs 83,777 needy depositors under hardship scheme of RBI. The Bank is having deposit of Rs 1,297 crores,” the release said.

The enquiry on the appeals of the delinquent directors and executives is in process. BOA has requested State Government to complete the said enquiry at the earliest, as it is going to boost the funds of the Bank from sale of attached properties of delinquent directors and excutives.

“The Bank has effected recovery of Rs.242.7 crores and earned Operating Profit of Rs33.51 crores since the present BOA has taken over the charge in April 2016,” the release mentioned.

During the current financial year, the Bank has recovered Rs 2 crores and expected recovery during the year is Rs 40 crores. The Bank is also hopeful of earning Operating Profit of more than Rs 10 crores in this year.

“The Bank has taken hard and effective steps for recovery in hardcore accounts. It includes attachments of properties of defaulter borrowers, public auctions of the same, filing criminal suits against defaulter borrowers/guarantors, etc. The Bank has also informed the names of itsdefaulter borrowers/guarantors to other banks for effective recovery. The Bank has also implemented OTS scheme and effective good recovery from the age old borrowers, ” Sundhir Pandit, chairman, Board of Directors, Rupee Co-op Bankinformed.