In an unwelcome development which is sure to push an already troubled UCB fraternity into gloom, the Reserve Bank of India has through an order dated April 28, 2020 cancelled the licence of The CKP Co-operative Bank Ltd., Mumbai, to carry on banking business, with effect from the close of business on April 30, 2020.
“The Registrar of Co-operative Societies, Pune, Maharashtra, has also been requested to issue an order for winding up the affairs of The CKP Co-operative Bank Ltd., Mumbai and appoint a liquidator for the bank”, a RBI release reads.
The RBI decision will hit more than a lakh of account holders and thousands of investors. Its current net worth is stated to be Rs 230 crores and the cumulative amount collected by it under fixed deposits is reported to be Rs 485 crores, according to UCB’s website.
With the cancellation of licence and commencement of liquidation proceedings, the process of paying the depositors as per the DICGC Act, 1961 will be set in motion. On liquidation, every depositor is entitled to repayment of his/her deposits up to a monetary ceiling of ? 5,00,000/- (Rupees Five lakh only) from the Deposit Insurance and Credit Guarantee Corporation (DICGC) as per usual terms and conditions, stated the release.
The CKP Co-operative bank’s messy affairs have created severe heart-burns among the innocent customers of the Thane based urban cooperative ban. The tragedy is: sins of others are being made to be paid by those who had no fault.
Earlier the apex bank had punished the bank for irregular and illegal transactions involving a huge amount of money. Sources say the functionaries of the bank had been playing ducks and drakes with the wealth of the cooperative bank with impunity.
Serving as vehicle of expression of peoples’ anguish we publish below some of their stories
Rajesh Punwani
I had kept FD of Rs.50000 for back up of my unemployment situation faced by me constantly being in Private sector jobless situation has to be faced I have to pay Loan EMI and my monthly household expenses my daughters fees now how will i survive in my jobless period my hard earned money is enjoyed by immoral cheats is there no place for honest hard working individuals in this country do we have to be like them to survive why is police not arresting this culprits and recovering our money is Chief Minister of Maharashtra listening
Abhishek Kedar
What can we all do? instead of discussing we need a solution here..
Rahul Nakhwa
My mother & father are senior citizens. They have joint A/C in CKP Bank, Thane Station branch. We have had deposits with CKP bank for a long time, but currently we are not getting any updates about our money. This is really ridiculous & frustrating. Can somebody from RBI or CKP Bank give us a clear idea about our deposits?
Vasudevan Rao
I am a retired person surviving only on the income of interest. Because of this restrictions from RBI poor customers are taken to task.
Why RBI has kept the customers in dark and the country’s leading authority have left the customers in blank. God only knows who will help us.
Silpa Ambre
The CKP bank mess shows the incapacity of our financial sector apex body..how can the management of the bank run away with our hard earned money…can a person survive on 1000 INR in today’s world…my mother who is a widower and a senior citizen has a account in the CKP Bank Station road branch, Thane west…Its really high time that RBI ensures the money to be refunded back to the investors and act very strongly against the management (Board of directors).
Manish Nadkarni
It’s high time someone.. anyone from RBI .. or from CKP Bank can provide some clarity on the status and security of the deposits of thousands of small investors like us. Nothing is worse than a feeling of helplessness and insecurity. The authorities must be open and frank and communicate the actual picture to all stakeholders. Whatever RBI has done must have some rationale.. please explain ..
- By when can we realistically expect the restrictions to be lifted?
- Is the interest of FDs getting credited to SB account?
- FDs which have matured in this period, will they be automatically renewed?
Shyam
Way back in June 2012, the Maharashtra Urban Co-operative Bank Federation’s President, Mr.Vidyadhar Anaskar stood by CKP Bank and appealed to all account holders not to withdraw their money. I would like to know what he has to say now. It is not fair on RBI’s part to penalise the account holders for the bank’s fault. Some intimation should have been sent to us by RBI.
Jeetendra B Sadarangani
Dear friends we must tweet to all ministers of our newly found govt & who evers friends r in press they must carry this news in headlines whatsapp /fb/twitter/telegram lest spread news like fire some can help us
J N Shukla
The concerned authorities should come out with an official statement to relieve anxiety of helpless depositors
Manisha Amodkar
My mother and I have Fixed deposit with CKP bank Thane branch. Due to RBI restrictions we are unable to withdraw our money. Even Staff is not sure about credit of interest amount in month end. can anybody help to resolve this issue and force bank management to issue note on public interest on the current position of the bank and I tried to login to the RBI website which is given above but this bank’s name is not in the drop down list to launch a complaint against the bank.
Vaishali
I am also an account holder of ckp bank (Thane & Dombivli Branch). Pl. show me the way to recover my money as early as possible. Without our fault we are suffering a lot for our own money. The latest information on CKP bank will be intimated to depositors on a timely basis on the site. Strict action needs to be taken against the Bank Management and penalise them for creating mess.
We request RBI to resolve the problems and try to get the money of depositors within one month.
Manisha Jadhav
I am also suffering from this RBI announcement, pl show me the way to recover our money as early as possible. I think its a time to show common man power.
Pravin
I am an account holder in CKP co-operative bank,Thane (vasant Vihar Branch)We hundreds of Account holders have our hard-earned money blocked in ckp bank since the last 25 days now. Without our fault we are suffering a lot.Those money is of great use to us ,as being a businessman I have to circulate those money for my debts , its of great help if RBI takes necessary steps at earliest considering public interest. at-least we should be able to withdraw our own deposits. only 1000/- (one thousand) is allowed by CKP bank.which is hardly of any use.when we require lacs of rupees.
Also on RBI website there is no provision to put complainants on CKP bank, it’s surprising, account holders are punished when the bank is at fault.
Kaustubh Shinde
I wish to enquire about the reimbursement of FDS with CKP.Is there any process or any path which we can follow? also my grandmother has her hard earned money into FDS with this organisation. How can our money be retrieved? Please enlighten me.
Vandana
I totally agree with all comments made. We, the account holders should have been informed beforehand and warning issued. My deposits had matured a few days before this happened and I renewed them in good faith. If a timely warning had been issued by RBI many like me would have withdrawn the FD and not renewed it. This is highly unfair to the common man who is always being penalised for others’ wrong doings. I hope the new government looks into this matter and resolves this as early as possible
Manohar Lad
After my retirement, I have kept deposits in the bank to get monthly interest for my living. Being a senior citizen, I do not have another sufficient source of income to meet my monthly expenses to run my family.
Because of the RBI restrictions, the Branch Manager, Gorai Branch informed that unless the restrictions are removed, they are not in a position to allow withdrawal of the interest amount, or premature withdrawal of my deposits. He also expressed his inability to tell as to when the RBI restrictions will be withdrawn.
The Administrator appointed by RBI should inform the depositors the current status and way out from the mess. Strict action needs to be taken against the Bank Management.