RBI Takes Control of Abhyudaya Cooperative Bank, Appoints Administrator

RBI Takes Control of Abhyudaya Cooperative Bank, Appoints Administrator

VoM News Desk | November 24, 2023 | 07:23 PM IST | Breaking News | Follow on Google News

RBI Takes Control of Abhyudaya Cooperative Bank, Appoints Administrator

RBI Takes Control of Abhyudaya Cooperative Bank, Appoints Administrator

In a decisive move, the Reserve Bank of India (RBI) has recently taken control of Abhyudaya Cooperative Bank Ltd, superseding its Board of Directors for a year. This intervention by the RBI is a significant step in addressing the governance issues faced by the bank.

Experienced Leadership to Steer the Bank

To ensure the smooth operation of the bank during this period, the RBI has appointed Satya Prakash Pathak, a seasoned former Chief General Manager of State Bank of India, as the Administrator. His role will be pivotal in managing the bank’s affairs, restoring confidence, and steering it back on track.

Supportive Committee of Advisors

Aiding the Administrator, the RBI has also formed a “Committee of Advisors” comprising experienced professionals. The committee includes Shri Venkatesh Hegde, former General Manager at SBI; Shri Mahendra Chhajed, a Chartered Accountant; and Shri Suhas Gokhale, former MD of COSMOS Co-operative Bank Limited. Their combined expertise is expected to play a crucial role in guiding the bank’s operations during this transitional phase.

Business as Usual for Abhyudaya Bank

Despite these changes, the RBI has not imposed any business restrictions on Abhyudaya Cooperative Bank. The bank will continue its normal banking activities, albeit under the guidance of the newly appointed administrator and advisors. This ensures that the bank’s customers will not face any immediate impact on its services.

VoM News Desk

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