Depositors demand money from collapsed bank

August 5th, 2011 - 5:17 pm ICT by IANS  

Mumbai, Aug 5 (IANS) Hundreds of depositors in Maharashtra Friday demanded their money back from a bank taken over by the Reserve Bank of India (RBI).

The depositors gathered outside the Veershaiva Co-operative Bank’s branch in suburban Andheri in north Mumbai.

The bank collapsed due to various reasons, including overtrading and non-performing assets, sources said.

People demanded that the bank return their money but bank officials said that the accounts were frozen.

A customer, Nigam Pandya, who has a savings account with the bank, said that an RBI notice is pasted on the bank entrance, stating it cannot carry out any transactions.

“I hope I don’t lose all my hard earned money,” he said.

The customers also gathered at the branch Thursday after hearing of the RBI administrator’s appointment at the bank.

The bank, headquartered in Kolhapur, has several branches in western Maharashtra.

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