Reserve Bank of India, in one of its recent moves, has cancelled licence of another Bank. On Thursday night the Apex bank cancelled the licence of Maharashtra Based, CKP Bank. The Bank is having its Head office at Dadar- Mumbai. The fate of its about more than One lac depositors has hung in balance. Payment of FDRs for than Rs. 450 crores has been put on hold.
As per the news published in one of the Maharashtra local newspaper the Bank was on RBI’s radar since 2014. Loss of the bank was increasing and Net worth of the Bank had deteriorated. Efforts were going on to reduce the loss of the Bank, but of no use. In one of the efforts to improve the position of the Bank the interest on deposits was reduced upto 2%. Gradually the position of the Bank was improving but RBI by cancelling the licence 0f the Bank, has given a big jolt to the investors and depositors of the Bank.
Sanjeev Kumar Khanna (Financial Mentor)
