RBI cancels licence of Shivalik Mercantile Co-operative Bank Ltd

RBI cancels licence of Shivalik Mercantile Co-operative Bank Ltd The Reserve Bank of India has cancelled Shivalik Mercantile Co-operative Bank Ltd.'s licence following its transition to Small Finance Bank as per RBI's Scheme of Voluntary Transition of Primary (Urban) Co-operative Banks (UCBs) into Small Finance Banks (SFBs) introduced in circular reference no. DCBR.CO.LS.PCB.Cir.No.5/07.01.000/2018-19 dated September 27, 2018. As a result, the bank has ceased to be a "Co-operative bank" as defined in Section 5 (cci) of the Banking Regulation Act, 1949, as read with Section 56 of the Act, and all provisions of the said Act that apply to the said co-operative bank will no longer apply to it. Shivalik Small Finance Bank Ltd. was given a licence to engage on small finance banking activity in India on January 1, 2021, in exercise of powers bestowed on the Reserve Bank of India by section 22 (1) of the Banking Regulation Act, 1949.