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Now, curbs on Karnataka co-operative bank. Another PMC-like crisis unfolding?

The Karnataka bank situation reminds of the Punjab and Maharashtra Co-operative (PMC) bank crisis of 2019, when it was revealed that the PMC bank defaulted on loans to the tune of Rs. 6,500 crore.

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Karnataka Co-operative bank

The Reserve Bank of India (RBI) has imposed curbs on a co-operative bank in Karnataka, restricting the withdrawal limit to Rs 35,000. The central bank also restrained Sri Gururaghavendra Sahakara Bank Niyamitha (SGRSBN) bank in Bengaluru from granting or renewing loans, accepting deposits or making investments for a period of six months.

The notification came on January 10.

However, the bank’s license is not cancelled and it will continue to do business with restrictions.

Worried depositors rushed to the bank to hold talks with the management. A meeting is scheduled for January 19, in view of the issue.

The situation was unexpected, considering the fact that SGRSBN bank received the best NPA management award in 2018 from the National Federation of Urban Cooperative Banks and Credit Societies Limited (NAFCUB).

The bank’s chairman K Ramakrishna has assured that the depositors’ money is “cent percent safe” with the bank. He blamed the 62 loans that locked up Rs 300 crore of deposit for the present situation.

BJP’s south Bengaluru MP Tejasvi Surya said that the customers need not panic, and that the finance minister has been informed about the matter.

Surya in his statement said that FM Nirmala Sitharaman has assured him that “the government will do everything in its capacity to protect the interests of the depositors and the long term interests of the bank. The statement added that Surya spoke to Sitharaman three times on January 13 and got reassurance from the minister that the interests of investors will be safeguarded.

The scenario reminds of the Punjab and Maharashtra Co-operative (PMC) bank crisis of 2019, when it was revealed that the PMC bank defaulted on loans to the tune of Rs. 6,500 crore.

On September 24, 2019, the RBI restrained the bank from doing any business for six months, while also capping the withdrawal limit to Rs 1,000, and later to 25,000.

It has to be noted that in 2013, an International Labour Orgranisation (ILO) report said that co-operative banks performed better than its competitors during the 2007-08 financial crisis.

Issue of dual regulation

Some experts attribute the current problems with the co-operative banks to dual regulation. These banks are regulated under both banking and co-operative legislation, by the RBI and the Registrar of Co-operative Societies (RCS) respectively.

The RCS takes care of administrative issues and controls the management elections.

Therefore, although the said banks came under the regulation of the RBI partially, when it came to bank management, the respective state governments had higher control.

Bringing co-operative banks under one regulatory mechanism might be a solution to the crisis, some believe.

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Asaduddin Owaisi offers Opposition alliance in UP, sets October 2 deadline

AIMIM chief Asaduddin Owaisi offered an alliance to Opposition parties in Uttar Pradesh ahead of the 2027 Assembly election and set October 2 as a deadline for a response.

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Asaduddin Owaisi

AIMIM chief Asaduddin Owaisi has offered to join hands with Opposition parties in Uttar Pradesh ahead of the 2027 Assembly election, saying his party is willing to work with those seeking to prevent the BJP from returning to power in the state.

Speaking at a public rally in Kanpur, Owaisi said the AIMIM would wait until October 2 for a response from Opposition parties before announcing any possible political alliance.

At the rally held at the Babupurwa Idgah ground in Kanpur’s cantonment area, Owaisi said the AIMIM did not want the BJP to form the government in Uttar Pradesh for a third time.

He invited parties seeking to prevent the BJP from returning to power to join hands with the AIMIM.

Owaisi targets Samajwadi Party

While making the alliance offer, Owaisi also criticised the Samajwadi Party and its chief Akhilesh Yadav.

Referring to the 2013 Muzaffarnagar riots, Owaisi questioned the record of the Samajwadi Party government during that period. He said around 50,000 people were displaced from their homes and villages during the riots.

Owaisi also alleged that political parties, including the Samajwadi Party, had failed to adequately address the social, economic and educational concerns of Muslims and had not provided sufficient political representation.

He said Muslims in Uttar Pradesh needed a political voice and urged voters to strengthen the AIMIM’s presence in the state Assembly.

AIMIM’s earlier alliance offer in Bihar

Owaisi also referred to the AIMIM’s earlier alliance proposal in Bihar ahead of the Assembly polls.

According to Owaisi, his party had offered to contest six seats as part of an alliance, but the proposal was not accepted. He alleged that “false allegations” were subsequently made against the AIMIM.

Opposition parties have previously accused Owaisi and the AIMIM of benefiting the BJP by dividing Muslim votes. Owaisi has rejected those allegations and has accused Opposition parties of fielding candidates who are unacceptable to minorities.

The latest alliance proposal comes ahead of the 2027 Uttar Pradesh Assembly election, with Owaisi setting October 2 as the date by which he expects a response from Opposition parties.

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AAP takes Punjab report card door-to-door after BJP’s anti-drug yatra

AAP has taken its Punjab government report card door-to-door as the BJP conducts a statewide anti-drug yatra ahead of the 2027 Assembly election.

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Bhagwant Mann

The Aam Aadmi Party has taken its Punjab government report card directly to households as the BJP steps up its statewide campaign against drugs ahead of the 2027 Punjab Assembly election. Chief Minister Bhagwant Mann began the door-to-door outreach from Dhuri, his Assembly constituency.

The move comes after the BJP launched its “Nasha Mukt Punjab Yatra”, which is focused on the drug menace, law and order and corruption. The BJP’s yatra is planned to cover all 117 Assembly constituencies before concluding in Jalandhar.

AAP is using its “Yudh Nashean Virudh” campaign and the Mann government’s wider governance record as the focus of its grassroots outreach.

AAP’s anti-drug strategy

The Punjab government is highlighting a five-point approach covering police enforcement, prevention in schools, youth engagement, community vigilance and rehabilitation.

According to government figures cited in the report, the Anti-Narcotics Task Force registered 61,824 FIRs and arrested 81,433 people between March 2025 and September 2026.

The government said the seizures during this period included 3,918 kg of heroin, 991 kg of opium, 47 tonnes of poppy husk, 1,416 kg of ganja and 65 lakh tablets and capsules.

In schools, a 14-week anti-drug curriculum is being taught to around 7.5 lakh students across 3,600 schools. The government is also promoting sports, cultural activities, mental-health clubs and other youth programmes.

Village vigilance and rehabilitation

The government said around 1.25 lakh people have joined nearly 15,000 Village and Ward Defence Committees.

It also said more than 51,000 citizen tip-offs received through the Safe Punjab WhatsApp Helpline have contributed to over 25,000 drug-related arrests.

On treatment, Punjab currently has 547 OOAT (Outpatient Opioid Assisted Treatment) centres, 219 de-addiction centres and 91 rehabilitation centres, according to the figures cited by the government.

Admissions to government de-addiction and rehabilitation centres rose from more than 12,200 in 2024 to nearly 34,000 in 2025, the report said.

BJP’s anti-drug campaign

The BJP’s “Nasha Mukt Punjab Yatra” has placed the drug issue at the centre of its political outreach in the state. The campaign is also raising concerns related to law and order and corruption and is planned across all 117 Assembly constituencies.

AAP’s response is to take its own record directly to voters, with the party highlighting action against drugs alongside welfare and development initiatives.

The door-to-door campaign comes as political parties begin intensifying their grassroots mobilisation ahead of the 2027 Punjab Assembly election.

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Ram Temple Donation Theft: 105 instances caught on CCTV, SIT tells Supreme Court

The SIT probing the alleged Ram Temple donation theft told the Supreme Court that 105 instances were identified through CCTV footage. The investigation is nearing completion.

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A Special Investigation Team (SIT) probing the alleged donation theft at the Ram Mandir in Ayodhya has identified 105 instances through CCTV footage, the Supreme Court was informed on Monday.

Solicitor General Tushar Mehta, while referring to the SIT’s status report, presented details of the investigation before the top court. The probe is nearing completion and the chargesheet is expected to be filed by September 25.

The Supreme Court reviewed the SIT’s status report during the hearing of the case and took the information presented before it on record.

What the SIT report found

According to the status report, investigators examined CCTV footage along with witness statements and other evidence to identify those allegedly involved in the donation theft.

The report specifically identified 105 incidents of donation theft through CCTV footage.

The court was also informed about the arrests made in the case and the evidence collected during the investigation.

The report further stated that receipts for valuables received as donations are generated through software, while the valuables are kept in a State Bank of India locker.

Supreme Court declines plea for SIT report copy

During the hearing, the petitioners sought a copy of the SIT report. The Supreme Court declined the request, with the bench headed by the Chief Justice saying it did not want to take the matter out of the Sessions Judge’s hands.

The court said it would pass an order if it considered further investigation necessary.

Eight accused arrested

The FIR in the case names eight people — Avinash Shukla, Anukalp Mishra, Lavkush Mishra, Manish Kumar Yadav, Karunesh Pandey, Ramashankar Mishra, Subhash Srivastava and Ram Shankar Yadav alias Tinnu — along with other unidentified individuals.

According to the report, all eight named accused have been arrested and booked under relevant provisions of the Bharatiya Nyaya Sanhita and Section 13(1)(a) of the Prevention of Corruption Act.

SIT probe and changes at Ram Mandir Trust

The three-member SIT, headed by Lucknow Divisional Commissioner Vijay Vishwas Pant, was constituted by the Uttar Pradesh government on June 13 at the request of the Ram Mandir Trust.

The panel submitted its preliminary report to the state government on June 23 and made several recommendations.

Following the donation theft controversy, top Ram Mandir Trust officials Champat Rai and Anil Mishra were removed from their posts. A CEO-led administrative structure has since been introduced, with former military officer Jitendra Mishra appointed as CEO.

The SIT investigation is now nearing completion, with the chargesheet scheduled to be filed by September 25.

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