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RBI halts New India Co-operative Bank’s operations

RBI imposes a series of restrictions on Mumbai’s New India Co-operative Bank, halting withdrawals and loans. Customers face a financial crisis with limited access to funds.

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The Reserve Bank of India has imposed restrictions on New India Co-operative Bank in Mumbai, halting withdrawals, loans, and deposits. Customers left worried.

In a shocking move, the Reserve Bank of India (RBI) has imposed stringent restrictions on Mumbai’s New India Co-operative Bank, citing concerns over the bank’s financial health. This action has left customers unable to access their accounts or withdraw funds, creating panic among account holders. Here’s a breakdown of the situation and what it means for customers and the bank.

RBI’s decision to impose restrictions

As of February 13, 2025, the RBI has barred New India Co-operative Bank from offering new loans, accepting fresh deposits, or renewing existing loans. In addition, the bank is not allowed to make any payments or sell its assets. These restrictions will remain in effect for the next six months, with the RBI highlighting that the financial condition of the bank is not secure.

The RBI’s actions come amid reports of financial irregularities within the bank, which have raised serious questions about its solvency. These measures are intended to safeguard the interests of customers and to prevent further financial instability.

What does this mean for the customers?

While depositors are protected under the Deposit Insurance Scheme (DIS), which guarantees up to Rs 5 lakh in case of the bank’s collapse, the immediate concern is the inability to withdraw funds. Customers across Mumbai have been lining up at branches in desperation, hoping to withdraw their savings, but the restrictions prevent them from accessing their accounts.

Social media has been flooded with images and videos of long queues outside the bank, with customers expressing frustration and anxiety. The closed doors of the bank and the absence of staff to handle the situation have only fueled the unrest.

How does the Deposit Insurance Scheme help?

Though depositors are covered under the Deposit Insurance Scheme, which ensures that up to Rs 5 lakh of their deposits are protected, many account holders may face difficulties accessing funds in the interim. This has led to increasing concerns among smaller depositors who rely on their savings for daily expenses.

The RBI’s intervention is aimed at providing the bank time to resolve its financial issues, but it remains unclear how long the restrictions will last or when normal banking operations will resume.

What caused the RBI intervention?

The primary reason for the RBI’s action stems from the bank’s questionable financial status. According to sources, there are ongoing concerns about the bank’s ability to meet its financial obligations, and questions have been raised about whether the institution has enough liquidity to sustain itself.

By halting new loans and deposits, the RBI aims to prevent further financial instability and ensure that the bank does not take on additional risk while working to stabilize its operations.

Customer reactions and growing concerns

Customers of the New India Co-operative Bank have been left in limbo, with many turning to social media to voice their concerns. The closure of the bank’s branches and the ban on withdrawals have created a sense of uncertainty. It’s clear that this development has caught many customers off guard, leading to widespread unease.

As the situation develops, many are questioning the future of the bank and what steps will be taken to ensure that customer interests are protected. For now, all eyes remain on the Reserve Bank of India to provide further clarity and guidance.

India News

Centre revokes detention of climate activist Sonam Wangchuk after nearly six months

The central government has revoked the NSA detention of climate activist Sonam Wangchuk after nearly six months, saying the decision was taken after due consideration as Ladakh continues to witness political tensions.

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Climate activist Sonam Wangchuk, who had been detained for nearly six months under the National Security Act (NSA), will be released after the central government decided to revoke the detention order.

The Ministry of Home Affairs (MHA) said the decision was taken after due consideration, noting that Wangchuk had already completed nearly half of the permissible detention period under the law.

In a statement, the government said the move was part of its broader effort to maintain peace and encourage dialogue in Ladakh.

According to the ministry, the government remains committed to creating an atmosphere of stability and mutual trust in the region so that constructive engagement with all stakeholders can continue.

The statement added that ongoing protests and bandhs had affected normal life and disrupted several sections of society, including students, job seekers, businesses, tour operators and tourists.

The government also reiterated its commitment to providing safeguards for Ladakh and expressed hope that regional concerns would be resolved through discussions, including through the High-Powered Committee and other dialogue mechanisms.

Detained after protests in Leh

Wangchuk was detained on September 26 last year, two days after violent protests broke out in Leh over demands for statehood and constitutional protection for Ladakh.

The clashes reportedly left four people dead and about 50 others injured, including security personnel.

Authorities detained Wangchuk under the NSA on the orders of the Leh district magistrate to maintain public order. He was later transferred to Jodhpur prison.

Long-running agitation over Ladakh safeguards

The activist has been one of the prominent voices in the movement seeking constitutional safeguards for Ladakh, particularly the inclusion of the Union Territory under the Sixth Schedule of the Constitution.

Since 2023, Wangchuk has led campaigns highlighting the impact of climate change on Ladakh’s fragile ecosystem.

Last year, he undertook a 35-day fast demanding statehood and constitutional protections for the region. The protest eventually escalated into unrest, after which he called off the fast, saying his message of pursuing a peaceful path had not succeeded.

Legal challenge and court remarks

Wangchuk’s detention was challenged in the Supreme Court by his wife Gitanjali Angmo, an educator.

During the hearing, the court raised concerns about the translation of a speech cited as evidence for his detention. Judges observed that if a three-minute speech was transcribed into a seven- or eight-minute text, it could suggest possible malice.

Opposition reaction

Congress MP Shashi Tharoor welcomed the government’s decision to revoke the detention but questioned the length of time Wangchuk spent in custody.

In a post on social media platform X, Tharoor said the 169-day detention appeared excessively long and called on the Supreme Court to establish strict norms for the maximum period of detention without trial.

He also argued that indefinite detention without trial was a practice inherited from the colonial era and should not exist in a mature democracy.

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BJP and TMC workers clash in Kolkata ahead of PM rally

Supporters of BJP and TMC clashed in central Kolkata near Girish Park shortly before Prime Minister Narendra Modi’s rally at Brigade Parade Ground.

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BJP TMC workers clash

Supporters of the Bharatiya Janata Party and the All India Trinamool Congress clashed in central Kolkata on Saturday morning ahead of a rally scheduled to be addressed by Prime Minister Narendra Modi later in the day.

The confrontation took place near Girish Park, roughly five kilometres from the Brigade Parade Ground where the prime minister is expected to address supporters.

Eyewitnesses reported that members from both political groups raised slogans and threw stones at each other during the confrontation. The clash created tension in the area as supporters were moving towards the rally venue.

According to BJP supporters, stones were allegedly thrown at them without provocation while they were heading towards the rally. One party activist told a Bengali news channel that the group was targeted suddenly and also faced verbal abuse.

However, local TMC workers rejected the allegations. They claimed that BJP supporters initiated the confrontation by hurling abuses and throwing stones first.

TMC supporters also alleged that stones were thrown towards the residence of local party leaders during the incident.

Police personnel were quickly deployed to the spot to control the situation and prevent further escalation. A large contingent of security forces intervened to restore order in the area.

The clash occurred about half an hour before the prime minister’s scheduled address at the Brigade Parade Ground. The rally marks the conclusion of the BJP’s statewide ‘Parivartan Yatra’ ahead of the upcoming assembly elections in West Bengal.

During his visit, the prime minister is also expected to unveil and lay foundation stones for development projects valued at more than Rs 18,000 crore in the state.

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Massive fire destroys around 80 shanties in west Delhi, hundreds left homeless

A massive blaze swept through a slum cluster in west Delhi’s Matiala village, destroying around 80 shanties and leaving hundreds of migrant families homeless overnight.

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A massive overnight fire destroyed around 80 shanties in west Delhi, leaving hundreds of migrant families homeless after flames swept through a large slum settlement near Uttam Nagar.

The incident took place late on the night of March 11 at the Machhli Mandi shanty cluster in Matiala village. The blaze spread rapidly across nearly four acres, reducing homes made of bamboo, tarpaulin and plastic sheets to ashes within hours.

According to Delhi Police, the affected families were largely migrant workers from Bihar who earn their livelihood as daily-wage labourers and ragpickers. Though no deaths were reported, residents lost most of their belongings including clothes, utensils, food supplies and documents.

Firefighters battle flames through the night

The Delhi Fire Service deployed 23 fire tenders to control the blaze. Firefighters continued operations throughout the night and managed to bring the flames under control at around 3 am on Thursday. Cooling operations continued afterward to prevent the fire from reigniting.

Thick grey ash and burnt debris covered large parts of the area after the fire. Charred bamboo frames, melted plastic sheets and twisted tin roofs were scattered across the ground.

Some residents claimed they saw unidentified people arrive on motorcycles and set several huts on fire before fleeing. Authorities have not confirmed this allegation.

Authorities cite disputed land and possible waste burning

District Magistrate Mekala Chaitanya visited the site and said the land has been under dispute for a long time.

He stated that the occupants had been issued an evacuation notice on March 7, with the night of the fire marking the final deadline to vacate the area.

An investigation is underway to determine the exact cause of the fire. The district administration suggested that the blaze may have started due to ragpickers burning waste at night, a practice commonly reported in the area.

Officials also noted that a similar fire incident had occurred earlier this month at the same location after illegal garbage dumping, which required eight fire tenders to extinguish.

Police say evacuation prevented casualties

Deputy Commissioner of Police (Dwarka) Kushal Pal Singh said police teams helped evacuate residents before the fire intensified.

He said the temporary structures were made from highly flammable materials, which allowed the fire to spread quickly. However, swift action by police and firefighters ensured that no lives were lost.

Families struggle after losing everything

Residents said they are now struggling to survive without basic necessities.

Rani Devi, a mother of three, said her family had no food, milk or drinking water after the fire destroyed their home and belongings. She added that many families were now sleeping amid the burnt debris.

A student, Rahul Kumar, whose board examinations are scheduled to begin soon, said his textbooks, notebooks and school uniform were all destroyed in the blaze.

Another resident, 42-year-old Rajesh Paswan, who migrated from Bihar over a decade ago and works as a ragpicker, said the fire wiped out everything his family owned overnight.

Demand for compensation and rehabilitation

AAP leader Ramesh Matitala met affected families and called for immediate compensation and rehabilitation.

He said the families should be provided financial assistance and relocated to a safer place, adding that authorities must ensure accountability if negligence or foul play is found in the investigation.

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