FM Sitharaman says 78 per cent of PMC Bank depositors can withdraw balance

The government on Monday said that 78 per cent of Punjab and Maharashtra Bank depositors can withdraw their account balance.

Stating this in the Lok Sabha during Question Hour, Finance Minister Nirmala Sitharaman said - "Small depositors will have to be given withdrawal rights. Hardship allowance can be invoked".

In the reply to questions from Rita Bahuguna Joshi (BJP) and her party colleague G S Basavraj, the government said the withdrawal ceiling is being monitored vis-a-vis the bank's evolving depositor and liquidity profile and "further action as deemed fit may be taken in the best interest of depositors of the bank".

"As regard to promoters, we have ensured that the attached properties of the promoters can be given to RBI under certain conditions," Ms Sitharaman said adding those properties can be auctioned and the money can be given to depositors.

The depositors can also withdraw on hardship grounds and an amount up to Rs one lakh with a sub-ceiling of Rs 50,000 for withdrawal of all non-medical grounds.

The government also informed the House that based on the 'complaint' filed by the bank against its officials and borrowers associated with the fraud, the Economic Offences Wing, Maharashtra police have started probe into the matter.

Forensic auditors too have been appointed to look into the related transactions, it has been stated.