Category Archives: Introduction

RBI issues additional guidelines for Indian State and District Central Co-operative Banks (StCBs and DCCBs)

The number of Indians banking with State and District Central Co-operative Banks (StCBs and DCCBs)

is significant. To further enhance the customer services in (StCBs and DCCBs), RBI issued a 38 Page circular containing additional instructions to (StCBs and DCCBs)on other areas of customer service.

Through these additional instructions, the (StCBs and DCCBs) customers can be assured of same customer service levels as in Scheduled Commercial Banks.

The additional guidelines are comprehensive and cover the entire gamut of banking operations.

There are 370 + DCC spread over all over India. The highest number of DCCs is in Uttar Pradesh. The lowest numbers of DCCs are in Himachal Pradesh. The variation could be due the number of districts in each State. Higher the number of districts, higher is the DCC number.

This Banking model consists of a district central bank for each District in every state of India known with a name as a respective District Central Cooperative Bank. The members and their elected directors who represent a multitude of professional cooperative bodies like Milk Unions, Urban cooperatives, Rural cooperatives, agricultural and non agricultural cooperatives and various others, in turn would elect the bank’s President.

These banks are collectively represented by a State Apex Central Cooperative bank for each state and it acts as the ultimate bank and apex body for the DCCs under each state. It has been widely observed all over the country that the local politicians who hold the sway over the cooperatives get elected the president post of the DCC bank and a president post would mean nurturing for their future political ambitions.

The best such examples can be found in Maharashtra State.

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5 Reasons – Reserve Bank of India cancels the Licence of The Mirzapur Urban Co-operative Bank Ltd., Mirzapur (Uttar Pradesh)

  1. The Banks ceased to be insolvent
  2. All efforts to revive the bank failed
  3. As on March 31, 2009, the Gross and Net NPAs were very high and stood at 54.14% and 48.74% respectively.
  4. As on March 31, 2013, the erosion of deposit had reached the level of 27.03%
  5. A merger proposal with respect to the bank was received in June 2014 which was also not found viable, as it did not meet the regulatory requirements. As such, there is no viable merger proposal under consideration.

mirzapur_FotorIn view of the above,  RBI took the extreme measure of cancelling the licence of the bank in the interest of bank’s depositors. With the cancellation of licence and commencement of liquidation proceedings, the process of paying the depositors of The Mirzapur Urban Co-operative Bank Ltd., Mirzapur (Uttar Pradesh) the amount insured as per the DICGC Act, will be set in motion subject to the terms and conditions of the Deposit Insurance Scheme.

Mirzapur is famous for its hand knotted carpets and also Blue Potteries, toys of Chunar stone, Sculptures and Brassware.

Shree Chhatrapati Urban Co.op Bank Ltd., Pimple Nilakh,District – Pune (Maharashtra) under RBI Directions

To safeguard the depositor’s interest, Reserve Bank of India, vide Press Release Dt.23 Sept 2014, has issued certain directions to Shree Chhatrapati Urban Co.op Bank Ltd., Pimple Nilakh, District – Pune (Maharashtra).

The highlights of the RBI Directions are:-

  • The directions are effective close of business on September 12, 2014,
  • Depositors will be allowed to withdraw only INR 1,000/- (Rupees one thousand only) of the total balance in every savings bank or current account or any other deposit account.
  • The bank has also been restrained from granting or renewing any loans and advances, making any investment, incurring any liability including borrowal of funds and acceptance of fresh deposits, disbursing or agreeing to disburse any payment whether in discharge of its liabilities and obligations or otherwise, enter into any compromise or arrangement and selling, transferring or otherwise disposing of any of its properties or assets except as notified in the RBI Directions dated September 10, 2014 a copy of which is displayed on the bank’s premises for perusal by interested members of the public. It can do so only with prior approval in writing from the Reserve Bank of India..

It is further clarified by Reserve Bank of India, that its directions should not per se be construed as cancellation of its banking licence as the bank will continue to undertake banking business with restrictions till its financial position improves. The Reserve Bank may consider modifications of these Directions depending upon circumstances.pune

This Bank is in the DICGC’s  >  List of Insured Banks > Co-operative Banks

Pimple Nilakh is a fast growing suburb of Pimpri-Chinchwad, which is situated in the western part of Pune. It is located close to Mumbai-Pune expressway, Pimple Nilakh is accessible to places like Wakad, Hinjewadi, Baner, Aundh, Pimple Saudagar and Rahatni, among others. The nearest airport is the Lohegaon airport.

Mission Bengaluru Midnight Marathon 2014 activated

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After the resounding success of Bangalore Midnight Marathon 2013, the organizers are going to be back for the 2014 edition.

The preparations have begun, with the activation of the event on it’s website.

The top 10 facts of Bangalore Midnight Marathon 2014 are as under:

01)The title sponsor is State Bank of India

02)The event will be held on 13th December  2014

03)The organizers are Rotary Bangalore IT Corridor (RBITC).

04)The venue is at KTPO (Karnataka Trade Promotion Organization), Whitefield.

05)Milkha Singh is the Brand Ambassador

06) The online registrations open on 1st September 2014

07)The website has a fully functional help guide with chapters for Diet and Nutrition, Expert Advice, Join Workshop, Training Tips, Optional Hotel Packages

08)On registration, each runner will be allotted a Chest Number. This Chest Number has to be displayed while participation in the event.

09)Families and friends are encouraged to be part of the event day.

10)So register to run for a greater cause… Run for those who can’t.

The following are the exciting Race-day Events

  • COMMUNITY RELAY: Team of 5 members running 1km each, as a relay.
  • FUN RUN: The IT City Run, a flagship event of BMM is a 5 Km run packed with run.
  • 10K RUN: The 10k run is branded the dream run where the runners rub shoulders with the other enthusiasts and fitness ambassadors of the events.
  • HALF MARATHON: As the name suggests, this is half the distance of the full marathon.
  • FULL MARATHON: The marathon is a 42.195 kilometer race in the heart of the city’s famed IT section.
  • CORPORATE RELAY: Team of 8 (Men and/or Women) represent their companies by running 5kms each, as a relay.
  • WOMENS RELAY: Team of 8 Women members only running 5kms each, as a relay.