Shivajirao Bhosale Co-op Bank faces liquidation

Maharashtra’s Co-operative Department has sent a proposal to RBI seeking liquidation of the Shivajirao Bhosale Co-operative Bank, reports a news outlet.

If RBI accepts the proposal, this will ensure the return of the minimum deposit of Rs 5 lakh to bank’s depositors. Cooperative dept is quoted saying those who have invested more than Rs 5 lakh will receive at least Rs 5 lakh.

As many as 71,000 investors have invested a fixed deposit of Rs 5 lakh, while 8,000 investors invested more than Rs 5 lakh in the form of various deposits. Earlier, Pune police had registered a case against several functionaries including the bank chairman Anil Bhosale

The case was registered under various sections of IPC and relevant sections of Maharashtra Protection of Interest of Depositors (MPID).