reserve Bank of India Based in New Delhi on Friday. imposed many restrictions on Ramgarhia Co-operative Banks with a limit of Rs 50,000 per depositor withdrawal in view of the deteriorating financial position of the lender. The restrictions came into force after the close of business on Friday and will remain in force for six months. Reserve Bank Issuing instructions under the said in a statement banking regulation act1949.

The Bank may not grant or renew any loan, invest or accept fresh deposits without the prior approval of the Reserve Bank of India.

In particular, withdrawal of an amount exceeding Rs 50,000 of the aggregate balance in all savings bank or current accounts or any other account of the depositor cannot be permitted, RBI said.

However, it said that these instructions given to Ramgarhia Sahakari Bank should not be construed as cancellation of banking license by RBI.

The Bank shall continue to carry on banking business subject to the restrictions specified in the Directions till its financial position improves.

The Reserve Bank further said that it may consider modification of the directions depending on the circumstances.