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Regular-article-logo Thursday, 25 April 2024

SC refuses to entertain plea by PMC Bank depositors seeking removal of withdrawal cap

The apex court asked the petitioner to approach the high court concerned

The Telegraph And PTI New Delhi Published 18.10.19, 06:55 AM
PMC bank customers protest outside the Killa Court, where the accused of the bank scam were being produced, in Mumbai on Monday, October 14, 2019.

PMC bank customers protest outside the Killa Court, where the accused of the bank scam were being produced, in Mumbai on Monday, October 14, 2019. PTI

The Supreme court on Friday refused to entertain a plea filed on behalf of scam-hit PMC Bank account holders seeking lifting of restrictions imposed by the Reserve Bank of India on cash withdrawals.

A bench headed by Chief Justice of India Ranjan Gogoi said, 'We are not inclined to entertain this petition under article 32 (writ jurisdiction). Petitioner can approach the high court concerned for appropriate relief.'

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Solicitor-general Tushar Mehta said the government is aware of the seriousness of the situation and the Enforcement Directorate is taking appropriate action against the culprit.

Advocate Shashank Sudhi, appearing for petitioner Bejon Kumar Mishra, said he has filed the petition on behalf of 500 Punjab & Maharashtra Co-operative Bank account holders seeking to lift restrictions imposed by the RBI on cash withdrawals.

Following the discovery of an over Rs 4,000-crore scam at the bank, which has deposits of over Rs 11,000 crore, the Reserve Bank of India had last month put a limit on withdrawals at Rs 1,000. Subsequently, the limit was raised to Rs. 40,000 from Rs 25,000 this Monday.

Depositors of the PMC Bank have been protesting to raise the withdrawal limit. So far, three instances of death, including one suicide, has been recorded.

The decesaed, Sanjay Gulati (Rs 90 lakh) and Fattomal Punjabi (over Rs 1 crore), had high amounts stuck with the bank. Gulati had lost his job with bankrupt private carrier Jet Airways in April and had a specially-abled son to tend to. The third death of Dr. Nivedita Bijlani was ruled as a suicide.

The troubled depositors had met finance minister Nirmala Sitharaman in Mumbai, who had promised to look in to the matter, meet the RBI chief, and possibly pass a legislation in winter session of Parliament.

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