To
Shri. Shaktikanta Das, Governor,
Reserve Bank of India, Mumbai.
Dear Sir,
17-2-2022
Reg: Merger of Adoor Co-op. Urban Bank with Kottayam Co-op. Urban Bank in Kerala
Looking to the financial condition of Adoor Co-op. Urban Bank, an Urban Co-op. Bank in Kerala, Reserve Bank of India imposed restrictions vide their instructions No. DCBS CO PCC D 4 / 12.26.004 / 2018-19 dated 2nd November, 2018. These restrictions have been continued and extended from time to time. These restrictions will end on 2022 March 9.
In the meanwhile, RBI asked the Bank to explore the possibilities to merge it with some other urban bank and also to suggest the name of such urban banks who can takeover Adoor Co-operative Urban Bank Ltd. The Managing Committee of the Bank which met on 12-4-2021 consented to merge the Bank with Kottayam Co-operative Urban Bank and the same was communicated to RBI.
Consequent to the above, the process of merger went ahead as per Master Directions DOR MAM NO 49/09.16.901/2020-21 dated 23 03 2021(Amalgamation of Urban Cooperative Banks Direction 2020).
General Body Meetings of share holders of Kottayam Co-operative Urban Bank and Adoor Co-operative Urban Bank were held and in both the meetings the decision to merge and scheme of amalgamation were approved unanimously.
In the month of September 2021, the same was communicated to RBI. No Objection Certificate from Registrar of Co-operative Societies was also submitted to Reserve Bank of India.
Since Kottayam Co-op. Urban Bank is willing to take over Adoor Co-op. Urban Bank and the necessary formalities as prescribed by the RBI have been complied with, we shall thank you to consider the proposal favourably and issue necessary notification in this regard.
Thanking you,
Yours faithfully,
C.H.VENKATACHALAM GENERAL SECRETARY