The Reserve Bank of India is closely monitoring the situation at Punjab & Maharashtra Bank and a forensic audit is underway, Governor Shaktikanta Das said Thursday.
PMC Bank, among the Top 10 urban cooperative banks in India, was placed under an RBI administrator on Sept. 23 for six months due to massive underreporting of bad loans.
"The PMC Bank situation is being closely monitored. Forensic audit is underway in PMC Bank case," Das said after a meeting of the Financial Stability and Development Council in New Delhi.
RBI had imposed withdrawal restrictions on PMC Bank account holders after it found alleged irregularities to the tune of Rs 4,355 crore due to diversion of money to Housing Development & Infrastructure Ltd.
On Tuesday, RBI increased the cash withdrawal limit to Rs 50,000 per account, which was the fourth such increase since PMC Bank was placed under its direct control.
Five persons, including HDIL promoters Rakesh and Sarang Wadhwan, have been arrested by the police in the PMC Bank case.
Several protests have been held by depositors in Mumbai and at least 10 depositors have died since the alleged scam came to light. Scattered protests have happened in front of the RBI main office in Delhi as well.
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