The Reserve Bank of India issued Directions under Section 35A read with Section 56 of the Banking Regulation Act, 1949 to Sri Guru Raghavendra Sahakara Bank Niyamitha, Bengaluru, Karnataka vide Directive DOS.CO.UCB.BSD-III.D-2/12.23.283/2019-20 dated January 02, 2020, for a period of six months up to July 10, 2020, as modified from time to time, which were last extended up to the close of business on August 10, 2024 vide Directive DOR.MON/D-11/12.23.283/2024-25 dated May 06, 2024. The Reserve Bank of India is satisfied that in the public interest, it is necessary to further extend the period of operation of the Directive beyond August 10, 2024.

As the statutory inspection of the Shimsha Sahakara Bank Niyamitha, Maddur, Mandya District (hereinafter referred to as “the bank”) with respect to its financial position as on March 31, 2021 revealed significant deterioration of its financials, with assessed CRAR at (-)79.74%, net worth at ₹(-)4.67 crore and deposit erosion at 19.61%, the Reserve Bank of India vide its Directive No. BLR.DOS.SSMS.No.S2174/12-08-295/2022-23 dated February 23, 2023, placed the bank under All Inclusive Directions (AID) from the close of business on February 24, 2023. The AID was extended from time to time and the last extension is valid up to the close of business on August 24, 2024.