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| | Reserve Bank of India |
 | | The Reserve Bank of India has on November 17, 2005 rejected the licence application of the Kotagiri Co-operative Urban Bank Ltd., Kotagiri, in view of the fact that it had ceased to be solvent. |
 | | As the bank did not have a viable plan of action for revival and the chances of its revival were remote, the Reserve Bank of India took the extreme measure of rejecting the licence application of the bank in the interest of the bank's depositors. |
 | | Consequent to the rejection of its licence application, the Kotagiri Co-operative Urban Bank Ltd., Kotagiri, is prohibited from carrying on âbanking businessâ as defined in Section 5(b) of the Act, ibid, including acceptance and repayment of deposits. |
| www.rbi.org.in /scripts/BS_PressReleaseDisplay.aspx?prid=13892 (573 words) |
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