The New India Co-operative Bank (NICB) has been grappling with severe challenges since the Reserve Bank of India (RBI) imposed restrictions on its operations on 13 February.
The situation stems from a ₹122 crore embezzlement case, leading to the arrest of eight individuals so far. This financial scandal has left thousands of depositors anxious about the safety and accessibility of their savings.
The depositors under the banner of the NICB Depositors’ Foundation organised a protest in Thane’s Majiwada area. Marching towards the bank’s branch, they carried placards highlighting their demands. Their primary call was for decisive measures to either revive the struggling institution or merge it with a stable financial entity to safeguard depositor interests.
Read More: New India Co-operative Bank Crisis: Depositors Urge Revival or Merger
During the protest, a delegation of depositors met the branch manager and submitted a detailed memorandum. The document raised several pressing concerns:
The memorandum highlighted that, despite previous meetings with RBI-appointed advisors and senior bank officials, considerable ambiguity remains regarding the bank’s revival prospects. Depositors voiced their fears about the long-term safety of their funds, especially for sums exceeding the insured limit.
The protestors urged the bank’s management to immediately escalate their concerns to the NICB Administrator and seek direct intervention from the RBI. One of the key appeals was for the RBI to lift the restrictions and announce a structured plan for either revival or merger before the DICGC begins disbursing insurance payouts scheduled for 14 May.
Depositors cautioned that if authorities continued to delay remedial action, they would intensify their agitation. The Foundation emphasised that prolonged uncertainty is deepening the financial and emotional distress faced by depositors, many of whom depend on their savings for day-to-day survival.
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Published on: Apr 29, 2025, 2:54 PM IST
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