The 21 banks included in the list have to submit the claim list by October 15, 2021 and in a final update till November 29. On the basis of this claim, DICGC will release money to the customers of these banks.
Deposit Insurance and Credit Guarantee Corporation (DICGC) has released the list of 21 banks whose account holders will get Rs 5 lakh soon. DICGC has also issued a statement in this regard. The operation of these banks is closed after forgery and fraud. These banks are currently in the ‘watch list’ of the Reserve Bank. The money of customers is stuck in these banks, on which it has been considered to give relief. The central government had announced the DICGC in the recent budget. Under this, a guarantee of up to Rs 5 lakh is given on the money deposited in the banks.
The Ministry of Finance has said that in accordance with sub-section (2) under Section 1 of the Deposit Insurance and Credit Guarantee Corporation (Amendment) Act, 2021, the Central Government has implemented the provision of this Act on the 1st of September, 2021. With this, all the depositors will get Rs 5 lakh, whose banks have been put on the moratorium by the Reserve Bank. An amount of Rs 5 lakh will also be given to the depositors of those banks which were running on the moratorium even before the passing of the Bank Deposit Guarantee Act.
DICGC’s rule
The functions of the DICGC are ‘Deposit Insurance and Credit Guarantee Corporation Act, 1961’ (DICGC Act) and ‘Deposit Insurance and Credit Guarantee Corporation General Regulations. 1961’ is governed by the provisions of Both these laws have been made by the Reserve Bank of India (RBI). On behalf of the government, the DICGC (Amendment) Act, 2021 has been notified in the gazette of the Government of India on 27 August. Due to the notification, this law has come into force from September 1, 2021. Under this, Rs 5 lakh will be given to the account holders of the bank written off or submerged.
Who will get the money
As per the rules, the account holders of the insured bank listed in AID (banks which have restrictions on withdrawal of deposits) will be paid the amount of deposit outstanding (maximum Rs 5 lakh) from the DICGC. Its duration has also been fixed. The customers of the banks which have gone into write-off will get Rs 5 lakh within 90 days from the start of the moratorium. The law was passed in the monsoon session held in August this year.
The name of PMC Bank is included in this list. Similarly, there are many other co-operative banks which have been banned by the Reserve Bank. According to the restriction, customers cannot withdraw money from their account.
The names of 21 banks which are included in this list are-
- Adoor Cooperative Urban Bank- Kerala
- Bidar Mahila Urban Cooperative Bank- Karnataka
- City Cooperative Bank- Maharashtra
- Hindu Cooperative Bank, Pathankot- Punjab
- Kapol Cooperative Bank- Maharashtra
- Maratha Shankar Bank, Mumbai- Maharashtra
- Millat Cooperative Bank- Karnataka
- Needs Of Life Cooperative Bank- Maharashtra
- Padma Shri Dr. Vithal Rao Vikhe Patil- Maharashtra
- People’s Cooperative Bank, Kanpur- Uttar Pradesh
- Punjab and Maharashtra Cooperative Bank- Maharashtra
- Rupee Cooperative Bank- Maharashtra
- Shree Anand Cooperative Bank, Pune- Maharashtra
- Sikar Urban Cooperative Bank Limited- Rajasthan
- Shree Gururaghavendra Sahakar Bank Regular- Karnataka
- Mudhoi Cooperative Bank- Karnataka
- Mata Urban Cooperative Bank- Maharashtra
- Sarjeraodada Nashik Shirala Cooperative Bank- Maharashtra
- Independence Cooperative Bank, Nashik- Maharashtra
- Deccan Urban Cooperative Bank, Vijaypur- Karnataka
- Grah Cooperative Bank, Guna- Madhya Pradesh
Case will be settled in 90 days
These banks have been instructed by the Reserve Bank to give a list of account holders to whom the money is to be returned within 45 days. There is a 90-day period for returning the money. It is divided into two parts of 45-45 days. In the first 45 days, banks will give the list of customers and their details. After scrutiny of the list within the next 45 days, the money will be refunded to the customers’ account. In the first 45 days, we will collect the records of its depositors and will give these information to the DICGC. In the next 45 days, DICGC will process all the claims and Rs 5 lakh will be returned to the customers.
The 21 banks included in the list have to submit the claim list by October 15, 2021 and in a final update till November 29. On the basis of this claim, DICGC will release money to the customers of these banks. After the release of the final update list of November 29, 2021, the money will be refunded to the customers within the next 30 days i.e. till December 29, 2021. To get the money, the claim form will be available in the bank. Customers will give information about account number, branch etc. in this form. Information about mobile number and e-mail is also to be given in the claim form.
