The beleaguered Amanath Cooperative Bank is likely to be taken over by Canara Bank. The latter has asked a chartered accountancy firm to collect details about the former’s assets and liabilities.
Once, they have the required details about the crisis hit bank, they would decide about taking over it.
Amanath Cooperative Bank was established in the late 70s. It has more than a dozen of branches in Karnataka.
It has several thousand members. The bank boasts Rs 400 crore deposits mobilized from nearly a quarter million of account holders. The bank has about 500 employees on its rolls.
Ever since the RBI has imposed restrictions on withdrawals from the Amanath Cooperative Bank, depositors are worried and demand their deposits back.
The bank’s NPA had an unusual uptick the RBI had to take action against the bank. The depositors can withdraw a thousand rupees once in six months.
CK Jaffar Sharief has called for the CBI enquiry into the scandal and charged the state govt with being insensitive in the matter.