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| RBI cancels the licence of The Madgaum Urban Cooperative Bank Ltd. | Daily Current Affairs Dose |
Our Daily Current Affairs Dose 2021 will help you to crack the General Awareness section of Banking Insurance SSC Railway UPSC and all government jobs exams.
RBI cancels the licence of The Madgaum Urban Cooperative Bank Ltd. | Daily Current Affairs Dose
The Reserve Bank of India (RBI) has, vide order dated July 27, 2021 cancelled the licence of The Madgaum Urban Co-operative Bank Limited, Margao, Goa. Consequently, the bank ceases to carry on banking business, with effect from the close of business on July 29, 2021.
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The Office of Registrar of Cooperative Societies, Goa has also been requested to issue an order for winding up the bank and appoint a liquidator for the bank.
The Reserve Bank (RBI) cancelled the licence of the Madgaum Urban Cooperative Bank as:
- The bank does not have adequate capital and earning prospects. As such, it does not comply with the provisions of section 11(1) and section 22 (3) (d) read with section 56 of the Banking Regulation Act, 1949.
- The bank has failed to comply with the requirements of section 22(3) (a), 22 (3) (b), 22(3)(c), 22(3) (d) and 22(3)(e) read with section 56 of the Banking Regulation Act, 1949;
- The continuance of the bank is prejudicial to the interests of its depositors;
- The bank with its present financial position would be unable to pay its present depositors in full; and
- Public interest would be adversely affected if the bank is allowed to carry on its banking business any further.
Consequent to the cancellation of its licence, The Madgaum Urban Co-operative Bank Limited, Margao, Goa is prohibited from conducting the business of ‘banking’ which includes acceptance of deposits and repayment of deposits as defined in Section 5(b) read with Section 56 of the Banking Regulation Act, 1949 with immediate effect. (inp:rbi)
Important facts for upcoming exams from the above Current Affairs Topic
- Establishment of Reserve Bank of India (RBI): 1 April 1935
- Headquarters of RBI: Mumbai, Maharashtra, India
- Governor of RBI: Shaktikanta Das
- Deputy Governor of RBI: Mahesh Kumar Jain, Dr. M. D. Patra, M. Rajeshwar Rao and T. Rabi Sankar
- Ownership of RBI: Ministry of Finance , Government of India
Current Policy Rates
- Policy Repo Rate: 4.00%
- Reverse Repo Rate: 3.35%
- Marginal Standing Facility Rate: 4.25%
- Bank Rate: 4.25%
Current Reserve Ratio
- CRR: 4.00%
- SLR: 18.00%
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