New Delhi: The Punjab and Maharashtra Cooperative Bank customers will not be able to withdraw over Rs 1,000 from their savings, current or other deposit accounts due to new restrictions imposed by the Reserve Bank of India. Meanwhile, police were deployed around the PMC branches in Mumbai to avert any untoward incidents as thousands of anguished depositors rushed to the head office of PMC in Bhandup of northeast Mumbai and its various branches across the city to withdraw money.

Earlier on Tuesday, PMC Bank’s Managing Director Joy Thomas said that PMC bank had been put under regulatory restrictions by the RBI owing to irregularities disclosed to the apex bank. Notably, the apex bank’s Chief General Manager Yogesh Dayal stated that these restrictions are applicable for a period of six months.

These RBI directions sparked panic among the depositors, sending shock-waves across the city banking and business circles on Tuesday. Addressing the distressed customers, Thomas, as quoted by news agency IANS, said, “As the MD of the Bank, I take full responsibility and assure all the depositors that these irregularities will be rectified before the expiry of six months.”

As per the new restrictions, the PMC bank cannot grant or renew loans and advances or invest by accepting fresh deposits or incur any liability by borrowing funds without RBI’s written approval. Further, PMC cannot disburse or agree to disburse any payment, enter into any compromise or arrangements and sell, transfer or otherwise dispose of any of its properties or assets except as notified in the RBI notification on Monday.

About PMC Bank:

Established in 1984 in Mumbai, PMC bank is now a multi-state cooperative banking entity. Currently, the bank has a network of 137 branches in Delhi and six states including Maharashtra, Karnataka, Goa, Gujarat, Andhra Pradesh and Madhya Pradesh. Besides, PMC bank is one of the top 10 cooperative banks in India.