RBI cancels Licence of The Ananthasayanam Co-operative Bank

The Reserve Bank of India(RBI) has notified that it has cancelled the Licence of The Ananthasayanam Co-operative Bank Ltd. and allowed it to function as non-banking institution.

In a press release, RBI said, “Reserve Bank of India (RBI) is satisfied to notify The Ananthasayanam Co-operative Bank Ltd., Trivandrum as a non-banking institution under Section 36A(2) read with Section 56 of the Banking Regulation Act, 1949. Accordingly, RBI has cancelled the licence dated December 19, 1987, granted to The Ananthasayanam Co-operative Bank Ltd., Trivandrum, Kerala to carry on banking business in India under Section 22 read with Section 56 of the Banking Regulation Act,1949 with effect from the close of business on September 21, 2023. ”

The release further said, “This makes it obligatory on the part of The Ananthasayanam Co-operative Bank Ltd., Trivandrum to stop conducting the business of ‘banking’ within the meaning of section 5(b) of the Act ibid, including acceptance of deposits from non-members with immediate effect.”

Furthermore, even after being designated as a non-banking institution, The Ananthasayanam Co-operative Bank Ltd., Trivandrum shall make every effort to repay unpaid and unclaimed deposits of non-members held by it.