Deposit Insurance and Credit Guarantee Corporation (DICGC) on Tuesday said that it has decided to pay the depositors of the insured ailing banks that come under the all-inclusive directions (AID), an amount equivalent to the deposits outstanding (up to a maximum of Rs 5 lakh only) within a period of not exceeding 90 days.
"A total of 21 banks including PMC Bank have been placed under AID and the depositors of the insured bank will be getting funds under the deposit insurance scheme," DICGC said.
"The Reserve Bank of India subsidiary shall settle the claims as per Section 18A of the DICGC (Amendment) Act, 2021, as well as the Corporation’s procedure," it added.
DICGC added that it has asked the troubled banks to obtain the willingness of the depositors to claim the insured amount and submit the claims within 45 days.
"These banks shall submit a claim list by October 15, 2021 and update the position as on November 29, 2021 (with principal and interest), in a final updated (second) list, to enable DICGC to settle the claim and discharge its insurance liability in full as per norms. Unpaid (updated willingness list) / difference in the amount of deposits up to the eligible amount (as per the final updated list submitted by November 29, 2021) will be paid within 30 days of receipt (i.e., by December 29, 2021)," the release said.
(Edited by : Anshul)
First Published: Sept 22, 2021 1:00 PM IST
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