03 February,2009 06:15 PM IST | | PTI
The Reserve Bank of India has cancelled the licence of Maharashtra-based Sadhana Co-operative Bank following insolvency of the bank.
Consequent to the cancellation of its licence, Sadhana Co-operative Bank, Maharashtra is prohibited from carrying on banking business, RBI said in a release.
Following liquidation every depositor will receive repayment of his deposit up to a ceiling of Rs one lakh from the Deposit Insurance and Credit Guarantee Corporation, it said.
The Central bank has cancelled the licence of the 13-year-old cooperative lender on January 22. The bank was granted licence in June 1996.
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The licence of the cooperative bank was cancelled as all efforts to revive it in consultation with the state government had failed, it added.
