india

Updated: Sep 26, 2019 15:19 IST

Several customers of the Mumbai-based Punjab and Maharashtra Co-operative (PMC) Bank, on which several curbs were imposed by the Reserve Bank of India on September 23, lodged a complaint with Mumbai police on Thursday alleging malpractices by the directors of the bank.

“A complaint on behalf of the account holders has been filed at the Sion police station mentioning that we have been fooled because of the malpractices by the senior bank officials. We have mentioned in the complaint that action should be taken against the concerned individuals and their passports seized so that they do not leave the country,” said Alok Bharara, 58, owner of a transport business.

The complaint alleges that at least 14 directors, including the bank’s chairman are responsible for the misappropriation of the funds. “The Sion police station has received our complaint for now but we have been asked to go to the head office of the bank and contact the police station which caters to the head branch,” said Bharara. The main branch of the bank is in Bhandup, which falls under the Mumbai suburban district, at least 20 km from the Sion branch.

As of now, the police have not filed an FIR. “We have received a written application from account holders of the PMC Bank. Further action will be taken after examining the complaint,” the police officer said.

The bank was put under regulatory restrictions on September 23 by the Reserve Bank of India and the cash withdrawal for all the customers has been capped at Rs 1,000 for a period of six months. Chaotic scenes were witnessed at various branches as customers rushed to branches in different parts of the city to make withdrawals even as police were deployed around the branches to avert any untoward incidents.

According to the RBI regulations, PMC cannot grant or renew any loans and advances, make any investment, incur any liability including borrowing of funds and acceptance of fresh deposits or disburse any liabilities without the prior approval from the RBI, said the bank in a press release dated September 23.

Described as a multi-state cooperative banking entity, the PMC Bank has branches in Maharashtra, Delhi, Karnataka, Goa, Gujarat, Andhra Pradesh and Madhya Pradesh. Founded in 1984 in a small room in Mumbai, it has now grown to a network of 137 branches in six states and ranks among the top 10 cooperative banks in the country.

(With inputs from PTI)