RBI pays over Rs135 crore to depositors of 19 failed co-op banks

07 April 2009

The Reserve Bank's credit insurance arm has paid over Rs135 crore to depositors of 19 cooperative banks that have gone bankrupt in 2008-09.

Among the 19 failed cooperative banks, the highest amount of Rs45.41 crore was paid to depositors of Co-operative Bank Ltd, Gonda, UP; followed by The Maratha Co-operative Bank Ltd, Hubli, Karnataka (Rs17.75 crore); Parivartan Co-operative Bank Ltd, Mumbai, Maharashtra (Rs16.71 crore); Ravi Co-op Bank Ltd, Kolhapur, Maharashtra (Rs16.23 crore) and Indira Priyadarshini Mahila Nagarik Sahakari Bank Ltd, Raipur, Chhattisgarh (Rs13.17 crore).

The Deposit Insurance and Credit Guarantee Corporation (DICGC), a wholly-owned subsidiary of the RBI, pays a maximum of Rs1 lakh per depositor in case a bank goes insolvent.

During 2007-08, as many as 22 cooperative banks closed operations.

The following is the list of co-operative banks that went burst and claims on which were settled by Deposit Insurance and Credit Guarantee Corporation Claims so far during 2008-09:

1) District Co-operative Bank Ltd, Gonda, Uttar Pradesh (Rs4,541.12 lakh);