Mumbai: In a view of ongoing PMC bank crisis, Shiv Sena party led by Udhhav Thackrey urged the Reserve Bank of India (RBI) to merge the crisis-hit Punjab & Maharashtra Cooperative Bank with a larger public sector or private lender.
RBI appointed an administrator on PMC bank, allegedly scammed Rs 4,355 crore last month, and banned withdrawal of funds.
In the memorandum to the RBI, Shiv Sena leaders including Union Ministers Arvind Sawant and MPs Gajanan Kirtikar, Rahul Shewale and Anil Desai said that the central bank will be merged with PMCU or private banks like Punjab National Bank, Bank of Baroda or ICICI Bank on the merger of PMC Bank should consider.
Also Read: Another PMC Bank Customer Dies Of Cardiac Arrest
Real estate firm HDIL, which is the main borrower of PMC Bank, has quality assets that have been provided as collateral, Shiv Sena leaders said in the memorandum.
The memorandum stated, “We are of the opinion that acquiring the bank will provide sufficient value in the merger. We request you to accept this top priority for restoring customer confidence in the banking system.”
Also Read: Wadhawan Duo, Waryam Singh Sent To Police Custody Till Oct 16 In PMC Scam Case
“You may consider requesting the State and Central Governments for recapitalization of the bank. RBI should also consider raising the bank on the basis of assurance/indemnity provided by large/bulk depositors so that the bank To be revived by conducting their day to day operations, depositors may be asked to give assurance/compensation to the effect that Will does not withdraw for a period of three to five years, ”the memo said.
The party also asked the RBI to strengthen its inspection procedures by deploying more skilled staff.
Insurance cover for deposit should be increased from Rs one lakh to Rs five lakh.
(With PTI Inputs)
Follow us on Twitter, Instagram and like us on Facebook for the latest updates and interesting stories.
