RBI extends regulatory restrictions on The Suri Friends’ Union Co-operative Bank Ltd. until October 22, 2026, under Section 35A read with Section 56 of the Banking Regulation Act, 1949.
Restrictions on Suri Friends’ Bank Extended
The Reserve Bank of India has extended the regulatory directions issued to The Suri Friends’ Union Co-operative Bank Ltd., Suri, West Bengal, under Section 35A read with Section 56 of the Banking Regulation Act, 1949. The latest extension, effective until close of business on October 22, 2026, was issued vide Directive No. DOR.MON.D-25/12.29.046/2026-27 dated July 14, 2026.
These directions, initially imposed on July 21, 2022, for a six-month period, have been successively extended to safeguard depositor interests and ensure financial stability. Section 35A empowers the RBI to issue directions to banking companies in the public interest or to secure proper management of the bank.
For legal practitioners, particularly in banking regulation and co-operative law, this highlights the sustained supervisory focus on stressed urban and rural cooperative banks. The case exemplifies the use of preventive regulatory tools under the Banking Regulation Act to mitigate systemic risk.
