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Tag: pmc bank news

  • Curbs on PMC Bank prolonged until Dec 31

    The Reserve Bank of India (RBI) has prolonged the instructions earlier imposed on Punjab and Maharashtra Co-operative Bank (PMC Bank) until December 31. The central financial institution not too long ago gave in-principle nod to Centrum Group to arrange a small finance financial institution to accumulate the crisis-hit PMC Bank.
    “Taking under consideration the time required for completion of assorted actions concerned within the course of, it’s thought of mandatory to increase the aforesaid Directions.
    “Accordingly, it is hereby notified for the information of the public that the validity of the aforesaid Directive dated September 23, 2019, as modified from time to time, has been extended for a further period from July 1, 2021 to December 31, 2021, subject to review,” the RBI stated.
    As of March 2020, the most recent knowledge accessible, PMC Bank had a deposit base of Rs 10,727 crore and loans price Rs 4,473 crore. The share capital of the financial institution is Rs 292.94 crore. However, it registered a internet lack of Rs 6,835 crore throughout 2019-20 and has a unfavorable internet price of Rs 5,850.61 crore.

    PMC Bank is beneath regulatory restrictions after the RBI discovered monetary irregularities in its functioning in addition to hiding and classification of loans given to Housing Development Infrastructure Ltd (HDIL). The financial institution has an publicity of over Rs 6,200 crore to HDIL. The RBI has outmoded the board of the financial institution and appointed an administrator in September 2019.
    Last 12 months in November, the financial institution got here out with an EoI (expression of curiosity) to establish an appropriate fairness investor/group of buyers prepared to take over administration management, in order to revive the financial institution and begin its day-to-day operations. Bharat Pe and Centrum Group reportedly submitted a joint EoI to the Reserve Bank to collectively take over the troubled PMC Bank.

  • Three presents for PMC Bank revival below analysis

    RBI Governor Shaktikanta Das on Friday mentioned that the fraud-hit Punjab and Maharashtra Co-operative (PMC) Bank has acquired ultimate presents from three traders for reconstruction and the financial institution is evaluating the proposals.
    “I have been informed that three final offers have been received. I am given to understand that the PMC Bank itself is evaluating the offers. Once the evaluation is done, the bank would approach the RBI,” mentioned Das.
    PMC Bank is below regulatory restrictions after the Reserve Bank of India (RBI) came upon monetary irregularities in its functioning in addition to hiding and classification of loans given to Housing Development Infrastructure Ltd (HDIL). The financial institution has an publicity of over Rs 6,200 crore to HDIL. The RBI has outdated the board of the financial institution and appointed an administrator.
    Last November, PMC Bank had come out with an EoI (expression of curiosity) to determine an appropriate fairness investor/group of traders keen to take over administration management in order to revive the financial institution and start its day-to-day operations.
    The financial institution mentioned it has complete deposits of Rs 10,727.12 crore, advances of Rs 4,472.78 crore and gross non-performing property of Rs 3518.89 crore as on March 31, 2020. The share capital of the financial institution is Rs 292.94 crore. However, the financial institution registered a internet lack of Rs 6,835 crore throughout 2019-20 and has a unfavourable internet value of Rs 5,850.61 crore.
    In January 2021, PMC Bank administrator A Okay Dixit — in a letter to prospects and stakeholders — had knowledgeable that three potential traders got time until February 1 for submission of their ultimate provide.
    In 2019, the Economic Offences Wing (EOW) of the Mumbai police arrested PMC Bank’s former managing director Joy Thomas in reference to the fraud on the financial institution. The promoters of HDIL, Rakesh Wadhawan and Sarang Wadhawan, too have been arrested and are presently in jail, dealing with cash laundering expenses.

  • Three gives obtained for PMC Bank decision, says RBI Governor

    Reserve Bank Governor Shaktikanta Das on Friday stated three traders have submitted their gives for reconstruction of crisis-ridden Punjab and Maharashtra Co-operative (PMC) Bank and analysis for these are underway.
    Last month, PMC Bank administrator A Okay Dixit in a letter to prospects and stakeholders had knowledgeable that three potential traders got time until February 1, 2021 for submission of their remaining supply.

    “I have been informed that three final offers have been received. I am given to understand that the PMC Bank itself is evaluating the offers,” the RBI governor advised reporters after asserting the financial coverage.
    He stated as soon as the analysis is finished, the financial institution would method the RBI.

    In September 2019, the RBI had outmoded the board of PMC Bank and positioned it below varied regulatory restrictions after detection of sure monetary irregularities, hiding and misreporting of loans given to actual property developer HDIL.