The Prudential Co-operative Bank witnessed around Rs 20 crore withdrawals on Saturday following a rumour that the Registrar of Co-operative Societies (RoCS) has ordered an investigation into alleged financial irregularities at the bank.
Angry depositors forced the 82-year-old bank to keep all its 19 branches in the city opened till midnight for withdrawals. Bank officials assured depositors that further claims will be entertained when the bank re-opens on Monday. The bank, established in 1920, has around 6,500 shareholders and 1.5 lakh depositors, of which around one lakh have deposits below Rs 1 lakh. The bank has total deposit liabilities of around Rs 540 crore.
There were allegations that the RoCS has found cases of irregularities at the bank including unsatisfactory recovery of loans. It was alleged that the bank followed the practice of
