The license of CKP Co-operative Bank Ltd has been cancelled

RBI cancels CKP Co-operative Bank's permit, contributors to get up to Rs 5 lakh


RBI cancels permit of Mumbai-based CKP Cooperative Bank


The RBI on Friday dropped the permit of CKP Cooperative Bank because of its budgetary flimsiness. In a request, the central bank has kept up that the CKP Co-operative Bank Ltd was not in a situation to pay its present and future contributors.



The Reserve Bank of India (RBI) on Saturday dropped the permit of Mumbai-based CKP Co-operative Bank Ltd. The permit of CKP Co-operative Bank Ltd has been dropped with impact from the end of business on April 30, 2020, as the bank's money related position had intensified.

In its request, the central bank has kept up that the CKP Co-operative Bank Ltd was not in a situation to pay its present and future contributors because of its money related shakiness.


In an announcement on Saturday, the RBI stated, "The CKP Co-operative Bank Ltd., Mumbai, is restricted from conducting the matter of 'banking' which incorporates acknowledgment of stores and reimbursement of stores."

The Registrar of Co-operative Societies, Pune, Maharashtra, has additionally been mentioned to give a request for wrapping up the undertakings of CKP Co-operative Bank Ltd. also, name an outlet for the bank.

The RBI stated, "The money related situation of the bank is exceptionally unfriendly and unreasonable. There is no concrete restoration plan or proposition for merger with another bank. Trustworthy commitment towards restoration from the administration isn't obvious."


"The bank isn't fulfilling the prerequisite of least capital and reserves....The bank isn't in a situation to pay its present and future investors, in this manner not complying with Section 22(3) (a) read with Section 56 of the Act," the RBI said.

With the wiping out of permit and commencement of liquidation procedures, the way toward paying the investors of The CKP Co-operative Bank according to the DICGC Act, 1961 will be gotten under way, the Reserve Bank said.

Accordingly, on liquidation, each contributor is entitled to repayment of his/her stores up to a fiscal roof of Rs 5 lakh from the DICGC.


The central bank additionally said that the CKP Co-operative Bank's endeavors for recovery have been a long way from satisfactory however it was given adequate time and opportunity and allotments.

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