Mumbai, September 24: Customers of the Punjab & Maharashtra Co-operative (PMC) Bank have raised a hue and cry on social media to mark their angst against the restrictions imposed by the Reserve Bank of India (RBI). The central bank, exercising its powers under the law, has put restrictions against the lender and barred it from allowing withdrawals of more than Rs 1,000 per account. The restrictions will remain till six months or any further order in this regard, the regulator said.

The decision was taken by the RBI in view of the alleged irregularities involving the bank which has come to the regulator's notice. On September 23, it issued an order under subsection 1 of Section 35-A of the Banking Regulation Act, 1949, which allows the Reserve Bank to impose restrictions on banks suspected of flouting the norms. Bank Mergers: What May Happen to Cheque Book, Passbook And Account Number of Depositors.

Apart from placing a limit of only Rs 1,000 on withdrawal per account, the RBI has also barred the PMC Bank from renewing or granting new loans, making investments, accepting fresh deposits or discharging any payments under its liabilities except for the salaries of its employees, electricity bills and other office expenses.

PMC Bank Depositors Storm Social Media to Mark Their Dissent:

Seek PM Modi's Intervention:

'Suicide Warnings'

A message is being circulated in the name of Joy Thomas, the MD of PMC Bank, asking customers to exercise restraint. He claims in the statement that the issue red-flagged by the central bank would be resolved within the six-month period, and the PMC Bank would soon revert to normal functioning. The authenticity of his statement could not be confirmed.

The message, being widely shared on social media, reads as follows: "I, Mr. Joy Thomas, M.D., regret to inform you that your PMC Bank has been put under regulatory restriction under Section 35A of B.R. Act by RBI for a period of 6 months due to irregularities disclosed to RBI. As the M.D. of the Bank, I take the responsibility and assure all the depositors that these irregularities will be rectified before the expiry of 6 months. All efforts are made to remove the restrictions by rectifying the irregularities. I know it is a difficult time for all of you and any apology may not restore the pain you are undergoing. Please co-operate with us. We assure that we will definitely overcome this situation and stand strong."

(The above story first appeared on LatestLY on Sep 24, 2019 11:29 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).