Business

Bengaluru Bank vows to return every penny, depositors panic

Bengaluru Bank vows to return every penny, depositors panic

TIL Desk/Business/Bengaluru/ Sri Guru Raghavendra Sahakara Bank Chairman K. Ramakrishna has blamed the Reserve Bank of India (RBI) for the imbroglio and said he could return the depositors’ money the next day the regulator withdrew the business restrictive order. “The RBI restricted the bank to allow only Rs 35,000 withdrawal. We are following the RBI rules.

 If tomorrow itself the RBI revokes restrictions, we are ready to return full deposits to customers,” Ramakrishna told depositors with folded hands. Hundreds of Sri Guru Raghavendra Sahakara Bank depositors on Tuesday showed up to withdraw the Rs 35,000 allowed by the RBI. Anxious depositors formed a serpentine queue in front of the bank.

 The RBI has asked the cooperative bank to disburse only Rs 35,000 after adjusting any liability the customers owed to the bank. “A sum not exceeding Rs 35,000 of the total balance in every savings or current account or any other deposit account by whatever name called may be allowed to be withdrawn by a depositor,” said the bank sharing the RBI order though text message to customers.

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