The Biz Reporter
Citizen Cooperative Bank depositors seek relief as RBI restrictions hit withdrawals
Jammu, Oct 5: A delegation of depositors and account holders of Citizen Cooperative Bank on Sunday met Chamber of Commerce and Industry (CCI) Jammu President Arun Gupta and apprised him of the difficulties and financial hardship being faced by thousands of depositors following regulatory restrictions imposed by the Reserve Bank of India (RBI).
The depositors said they had placed their hard-earned savings with the bank with the legitimate expectation that their money would remain secure and accessible when required. They said the restrictions had left many account holders struggling to meet essential financial obligations.
According to the depositors, their savings were intended for critical needs, including the education and marriage of their children, medical treatment and other household requirements. They also said the restrictions on withdrawals were making it difficult for business owners to manage their day-to-day operations and access their own funds when required.
The delegation urged the authorities to establish a clear, transparent and time-bound mechanism for enabling depositors to access their funds. It also sought special consideration for depositors facing medical emergencies, marriage-related expenses and other urgent circumstances.
The depositors requested Gupta to take up the matter with the concerned authorities on priority, saying that timely intervention was necessary to protect their legitimate interests as well as safeguard the future of the bank’s employees.
The delegation also raised the issue of land reportedly allotted to Citizen Cooperative Bank by the Jammu Development Authority (JDA) and requested the CCI president to take up the matter with Chief Minister Omar Abdullah.
The depositors said resolution of the land-related issue could help the bank strengthen its financial position and maintain the required Cash Reserve Ratio (CRR).
Gupta assured the delegation that he would take up the land allotment issue with the Chief Minister and seek its resolution to help the bank become fully operational.
During the meeting, it was also pointed out that some depositors had submitted applications seeking permission to withdraw funds for medical treatment and the marriage of their children. The delegation urged that such requests be considered on humanitarian grounds within the applicable regulatory framework.
Expressing solidarity with the depositors, Gupta said the prevailing situation was having a serious impact on the economy of the Jammu region.
While acknowledging the regulatory framework governing cooperative banks, he said the restrictions on transactions had created uncertainty among depositors and affected their ability to access their savings.
Gupta assured the delegation that the Chamber would take up the genuine concerns of depositors with the appropriate authorities.
He also urged the concerned authorities to intervene urgently and take appropriate measures for the revival of Citizen Cooperative Bank, while addressing the concerns of depositors and protecting the interests of the bank’s employees.
