Panic stricken depositors mill around Bengaluru bank after RBI caps withdrawal limit
Bengaluru, Jan 14: Panic stricken depositors milled around the Sri Guru Raghavendra Cooperative Bank here on Tuesday to withdraw their money, days after the Reserve Bank of India capped the withdrawal limit to Rs 35,000.
The depositors, mostly senior citizens, were concerned about their money deposited in the bank and worried as to how long it might take for the situation to get resolved.
Expressing disappointment about the bank's response to their concerns, many said they put their money in the bank as it provided an additional one per cent interest.
Some depositors even compared the situation with another PMC bank like crisis.
Bank officials maintained that depositors' money was 'hundred per cent' safe and are expected to hold a meeting with them on January 19.
One such meeting that was supposed to be held on Monday could not take place.
BankChairman KRamakrishna said the bank has stability and there was no reason for depositors to worry or panic.
Stating that RBI restrictions cited the rise in Non Performing Assets, he said "NPA during last March was 0.50 per cent, but as they have taken the numbers of the last eight years, there is some confusion.
The restrictions are not permanent. It is temporary in the interest of the depositors and the bank... Banks license has not been cancelled," he said.
Requesting depositors not to fear, he further said the management was committed to set things right and the bank has a good record of over 20 years on their side.
He said the bank has not given any benami loans and has Rs 2,200 crore security.
"We are in talks with RBI to bring in normalcy...please dont panic on hearing what others are saying,'' he added.
Meanwhile, Bangalore South MP Tejasvi Surya said Finance Minister Nirmala Sitharaman has been appraised of the matter and was personally monitoring the issue.
"I want to assure all depositors of Sri Guru Raghavendra Co-operative Bank to not panic.
Hon'ble Finance Minister Smt. @nsitharaman is appraised of matter & is personally monitoring the issue.
She has assured Govt will protect interests of depositors. Grateful for her concern," he tweeted last night.
The MP's office in a statement has said that the Finance Minister has even spoken to the RBI Governor and officials on the matter and assured Surya that the government would do everything to protect the interests of the depositors and in the long-term interest of the bank.
The RBI had directed that from the close of business on January 10 "a sum not exceeding Rs 35,000 of the total balance in every savings bank or current account or any other deposit account by whatever name called, may be allowed to be withdrawn by a depositor."
According to sources, RBI's restriction was because the bank had seen a default of Rs 350 crore on loans over the past three months.
I want to assure all depositors of Sri Guru Raghavendra Co-operative Bank to not panic.
— Tejasvi Surya (@Tejasvi_Surya) January 13, 2020
Hon’ble Finance Minister Smt. @nsitharaman is appraised of matter & is personally monitoring the issue. She has assured Govt will protect interests of depositors. Grateful for her concern. pic.twitter.com/pmoAcUFAu7
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Arnab Goswami’s Homecoming? Anchor tears into Modi Government over aviation chaos
Says, govt not going to be happy with us saying this
New Delhi: In a striking turn that surprised even his regular viewers, Arnab Goswami spent the evening of December 4 taking direct aim at the central government over the ongoing crisis in the domestic aviation sector. The debate, aired on Republic, focused entirely on the severe disruption caused by IndiGo flight cancellations and the state of air travel in the country. The tone was sharp, emotional, and openly critical, raising the larger question of whether this marks a homecoming of sorts for the anchor long accused by critics of being soft on the government.
Goswami began the show by saying the central government had “completely let down” air passengers. He pointed to chaotic visuals from airports in Pune, Ahmedabad and Mumbai, describing passengers packed into crowded spaces, long queues, and travellers lying on the floor with little access to basic facilities. He said anyone travelling with children or elderly parents would understand the distress such situations cause.
According to him, the government often claims to have improved the aviation sector, but the day-to-day experience of passengers tells a different story. He argued that whatever help the government may have extended has benefited individuals and individual companies, not the sector as a whole.
Goswami highlighted data from the last three days, saying IndiGo had canceled 1,232 flights in November. He broke down the reasons for the cancellations: 755 linked to crew and FDTL constraints, 258 due to airspace and airport restrictions, 92 because of failures in air traffic control systems, 127 for other reasons.
He said passengers in India are often “taken for granted” and that only in this country can such large-scale cancellations take place without consequences.
Throughout the debate, Goswami repeatedly returned to the theme of duopoly. He said Air India and IndiGo together control 91.5 percent of the aviation market, leaving only a small share for others like Akasa and SpiceJet. This, he said, gives the two big players the power to decide prices and escape accountability.
“They can set the prices. They can torture passengers. They can be not answerable for air crashes.” He added.
Goswami also questioned why such a structure is allowed to exist if the government claims it opposes monopolies. He asked whether the government has made Air India accountable after the recent air crash, and said he did not believe so.
“We are told that the Modi government does not like monopolies. First of all, I don't agree with that. There are too many monopolies happening.” He said.
The anchor accused Air India of operating aircraft that were not airworthy and said no serious action followed. According to him, any other minister in charge of civil aviation would have been removed after such incidents, but nothing happened.
“He is not answerable. And why is the central government not bothered about it? Because he comes from the TDP, an alliance party. So let him do,” he said.
He added that Air India continues to seek government support, including compensation for losses after the Sindhur episode. Goswami questioned why public money should be used to support the airline, drawing a comparison with the earlier controversy involving Vijay Mallya seeking help from the Manmohan Singh government a move that was labelled as scam.
Goswami said passengers are suffering because of delayed flights, sudden cancellations, and lack of compensation. He criticised the DGCA, saying it was not enforcing safety and operational norms. He also questioned why the Prime Minister’s Office had not intervened.
He noted that Republic had carried multiple exposés on these issues and claimed that Air India chooses to give interviews and advertisements only to other channels.
He also called for Parliament to debate the aviation mess and examine whether monopolies or duopolies should be allowed in a nation of India’s size.
“I'm sure the government's not going to be happy with us saying this, but someone's got to speak up for the people of this country.” He added.
Known by his critics as the “Godi Media Chief”, Goswami’s direct attack on the Modi government over civil aviation raised eyebrows across media circles.
Whether this is a one-off outburst or a sign of a new editorial direction is something viewers will be watching closely.
#AviationCollapse | India’s aviation sector is in turmoil as IndiGo’s mass cancellations and Air India’s alleged safety lapses leave passengers stranded. The disruption raises serious questions about airline management, regulatory oversight, and who is ultimately responsible for… pic.twitter.com/Dqt6pcoW8w
— Republic (@republic) December 4, 2025
