RBI Extends Directive for Sri Guru Raghavendra Sahakara Bank
The Reserve Bank of India (RBI) has issued a new extension of a directive to Sri Guru Raghavendra Sahakara Bank Niyamitha, Bengaluru, under Section 35A read with Section 56 of the Banking Regulation Act, 1949. The extension runs for six months, from the close of business on November 10, 2026, to the close of business on May 10, 2027, and remains subject to review.
The original directive, dated January 2, 2020, set a six-month compliance period ending on July 10, 2020. The RBI stated that extending the directive beyond November 10, 2026, is necessary in the public interest, but clarified that the extension does not imply satisfaction with the bank’s financial condition. All other terms and conditions of the original directive stay unchanged.
Why it matters
Banking-sector readers need to track RBI supervisory actions that may affect the stability and regulatory compliance of cooperative banks.
FAQ
What is the new deadline for the directive?
The directive now expires on May 10, 2027.
Does the extension indicate the RBI is satisfied with the bank’s finances?
No, the RBI explicitly said the extension should not be taken as satisfaction with the bank’s financial position.
Are any other conditions of the directive changed?
No, all other terms and conditions remain unchanged.
Source: RBI Press Releases. See the original source for full details.
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