PMC Bank Case: Supreme Court To Hear PIL On Friday
PMC Bank customers stage a protest in Mumbai,on Oct. 14, 2019. (Photograph: PTI)

PMC Bank Case: Supreme Court To Hear PIL On Friday

The Chief Justice of India headed bench of the Supreme Court will hear a public interest litigation filed by a Delhi-based activist on Friday.

The petitioner has sought the intervention of the top court to protect the hard-earned money of the depositors of PMC Bank as well as issue directions to protect bank deposits in case of a financial emergency.

The other measures sought by the petitioner seek that there should be a 100 percent insurance of bank deposits of the citizens against the current insurance limit of Rs 1 lakh which has not changed for the last 26 years.

The petitioner has contended that the Rs 1 lakh insurance limit was enacted 26 years back and despite the drastic change in the economic landscape since then, the insured limit has not changed which makes it “completely arbitrary in the current landscape”.

Currently, there is a withdrawal limit of Rs 40,000 for PMC Bank customers. The limit was enhanced from Rs 25,000 earlier by the Reserve Bank of India on Oct. 14, after protests by depositors.

On Sept. 26, the RBI had imposed restrictions on depositors from withdrawing money from their accounts after it found irregularities while assessing the liquidity profile and asset-quality of the bank.

Also read: PMC Bank Victims: Rs 1 Lakh Insurance In 1993 Should Be Rs 1 Crore Today

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