Categories: Banking

RBI revealed a Draft Scheme for amalgamation of PMC Bank

The Reserve Bank of India (RBI) revealed a draft scheme for amalgamating the Punjab and Maharashtra Cooperative (PMC) Bank with the Delhi-based Unity Small Finance Bank Ltd (USFB). Unity Small Finance Bank is a joint venture between Centrum Group and Bharatpe. It has commenced operations as a small finance bank with effect from November 1, 2021. According to the draft scheme of amalgamation, the takeover of the assets and liabilities of PMC Bank, including deposits, by Unity will give a greater degree of protection for the depositors.

Buy Prime Test Series for all Banking, SSC, Insurance & other exams

The suggestions and objections to the draft scheme are open till December 10, 2021. PMC Bank Limited based in Mumbai, Maharashtra was placed under All-Inclusive Directions under Sub-section (1) of Section 35-A read with Section 56 of the Banking Regulation (BR) Act, 1949 on September 23, 2019, on account of fraud which led to a steep deterioration in its net worth. The RBI scheme also said that for institutional depositors 80 per cent of the uninsured deposits outstanding will be converted into Perpetual Non-Cumulative Preference Shares (PNCPS) with the dividend of one per cent per annum payable annually.

Find More Banking News Here

Sumit Arora

As a team lead and current affairs writer at Adda247, I am responsible for researching and producing engaging, informative content designed to assist candidates in preparing for national and state-level competitive government exams. I specialize in crafting insightful articles that keep aspirants updated on the latest trends and developments in current affairs. With a strong emphasis on educational excellence, my goal is to equip readers with the knowledge and confidence needed to excel in their exams. Through well-researched and thoughtfully written content, I strive to guide and support candidates on their journey to success.

Recent Posts

Home Rule Movement (1916): Tilak and Annie Besant’s Fight for Self-Government

The Home Rule Movement in India (1916-1918) is another notable stage in the process of…

3 hours ago

RBI Survey Raises FY27 Growth Forecast to 6.6%

According to the Reserve Bank of India’s 101st Survey of Professional Forecasters (SPF), there has…

4 hours ago

Karnataka Moves Supreme Court Against Bike Taxi Ruling, Cites Safety and Insurance Concerns

The Government of Karnataka has filed its case with the Supreme Court challenging the High…

5 hours ago

Dr Srinivasa Kumar Tummala Assumes Charge as MoES Secretary

Noted oceanographer and scientist Dr Srinivasa Kumar Tummala has taken charge as the Secretary of…

5 hours ago

Jallianwala Bagh Massacre (1919): The Incident That Shocked India

The Jallianwala Bagh Massacre of 1919 is one of the most infamous events that happened…

6 hours ago

Shivraj Chouhan Launches NSP-DBT Scholarships for Agriculture Students

Union Agriculture and Farmers’ Welfare Minister Shivraj Singh Chouhan has launched a new scholarship and…

6 hours ago