Sun Feb 16 04:53:01 UTC 2025: ## Former Bank Manager Accused of Rs 122 Crore Fraud, RBI Takes Control of New India Co-operative Bank

**Mumbai, India** – A former general manager of the New India Co-operative Bank, Hitesh Praveenchand Mehta, has been accused of embezzling Rs 122 crore (approximately $14.7 million USD) from the bank. Mumbai Police have filed a case against Mehta, who allegedly misused his position at the Dadar and Goregaon branches between 2020 and 2025. The Economic Offences Wing (EOW) is now investigating the case, which involves charges under sections 316(5) and 61(2) of the Banking Regulation Act.

Following concerns about governance failures, the Reserve Bank of India (RBI) has imposed strict restrictions on the bank, prohibiting it from granting or renewing loans, accepting new deposits, or making payments without prior approval. The RBI has also superseded the bank’s board of directors for 12 months and appointed a new administrator, Shreekant (a former SBI chief general manager), to oversee operations. This action followed a complaint from the bank’s Chief Accounts Officer.

The RBI’s intervention sparked panic among customers, leading to long queues outside branches as people rushed to withdraw their savings. The RBI cited poor governance as the reason for its decisive action. This situation highlights ongoing concerns about financial irregularities within Indian cooperative banks. The investigation is ongoing, and further details are expected to emerge. Separately, Traders Gurukul’s BOTS (India’s Largest Regional Retail Option Traders Summit) continues to provide updates on the cryptocurrency market.

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