Interim measures to protect PMC Bank Depositors

Depositors’ interest will be safeguarded PMC administrator to RBI New Delhi/Mumbai

• The crisis-hit PMC bank depositors intensified their protests and the Supreme Court has agreed to hear on Friday the 19^th instant, an urgent plea seeking directions for interim measures to safeguard the money of customers blocked in the bank.
• The plea on Wednesday the 17^th Oct 19  for the apex court to step in amid 3 deaths linked to the crisis in the Punjab & Maharashtra Co-operative (PMC) Bank came even as the bank’s administrator met the RBI’s top brass including Governor Shaktikanta Das and assured depositors that all efforts will be made to safeguard their interests.
• The Reserve Bank of India (RBI) has imposed restrictions on the bank following the discovery of a Rs 4,355-crore scam.
• The limit on deposit withdrawals that has now been capped at Rs 40,000 over a six month period has caused panic and distress among the depositors.
• A Mumbai court, meanwhile, remanded two top HDIL officials and the PMC’s ex- Chairman in judicial custody till Oct. 23 in connection with the scam.
• Outside the court, several depositors protested demanding that their money be returned. There were also protests by the depositors outside the RBI in Delhi.
• In Mumbai, J. B. Bhoria, who was placed as the bank’s administrator last month by the RBI, released a press statement after his meeting with the RBI’s top brass. “It was assured that the bank will make all efforts to safeguard the interests of depositors and other stakeholders,” it said.
• In a related development, the Economic Offences Wing (EOW) of the Mumbai Police called Surjit Singh Arora, one of the former directors of the PMC bank, for questioning.