How to fix the PMC Bank crisis

What we need is a simple principle to be applied here: All deposit-taking organisations should come under the sole supervision of the RBI

Three weeks ago, Punjab & Maharashtra Cooperative Bank (PMC Bank) suddenly collapsed. It has Rs 11,500 crore in deposits from more than 300,000 people and had lent more than Rs 6,500 crore to bankrupt real estate group HDIL Ltd, which was surreptitiously controlling the bank through common directorships and shareholding. The Reserve Bank of India (RBI) has restricted the amount depositors can withdraw. The anger and desperation of depositors are mounting. Social media is abuzz with the supposed insensitivity of the finance minister, who unfortunately responded to heart-rending stories of life savings being wiped out with the claim that cooperative