@RBI

The Reserve Bank has superseded the Board of Directors of Abhyudaya Cooperative Bank Limited and appointed the former Chief General Manager of State Bank of India, Mr. Satya Prakash Pathak as its Administrator.

In a statement, RBI has said, the Administrator will manage the bank’s affairs for a period of 12 months. It added that a Committee of Advisors to assist the Administrator in discharging his duties has also been appointed.

The Reserve Bank has said that the decision to appoint an administrator was taken due to certain material concerns emanating from poor governance standards observed in the bank. It has however clarified that there are no restrictions on any activity and the Mumbai-based bank will continue to carry on its normal banking activities as is hitherto, under the guidance of the Administrator.