looks like things are not that good at RBL Bank as MD & CEO of the company has gone on an indefinite leave and RBI has appointed additional director on RBL Bank board.
Quoting from the article below :
Bank employee unions’ umbrella body AIBEA had written a letter to Finance Minister Nirmala Sitharaman expressing concern that everything was not right at RBL Bank and it was going the Yes Bank and Lakshmi Vilas Bank way.
"We are worried and concerned about the developments that are taking place in the affairs of RBL Bank Ltd, the Kolhapur based private bank.”Kolhapur based private bank.”
“The sequence of events leading to the sudden exit of Vishwavir Ahuja along with induction of Dayal from RBI on the board as additional member indicates that everything is not ok with the bank,” AIBEA said in its letter to the Finance Minister.
Even recently when the news of CCD restructuring news came out (which was a big hangover for the stock), the stock didnt move and infact saw relentless selling.
I Personally think its bit early to come with a conclusion about this bank’s future as we dont have enough inputs . but things are not looking encouraging.
For sure, stock of the day tomorrow
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Similar type of news like RJ/RK Damani buying stake in bank news floated yesterday and the same is being denied saying it was made before the weekend announcement by channels.
are we heading towards 2 digits likes of RBL Bank and a deep correction in small banks ?
Although the bank is in troubled waters without any question of doubt. I still feel it is not as bad as Yes bank. As the bank is in business from 70 years and promoter quality is not as dubious.
Ofcourse it may head to double digits…I’ll look to buy there with small amts. Capital adequacy of the bank is decent
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I hope there will not be a ‘run on the bank’ by depositors. Previous experience for depositors has been sad hence i feel all these bad news will give jitters to depositors. The positive being this bank was giving reasonable rate on deposits except for sb ac I am sure rbi will provide adequate liquidity if there is a run on the bank.
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I feel Scheduled Commercial banks are much safer than cooperative banks. Still feel RBL bank is not that bad like previous cases like yes bank. what do u think @neha1101
I think that eventually this RBL Bank too will go under the bus. At this point nobody can say with precision, how much skeleton is there in their closet.
RBI says all is well. uhmmm
I fully agree. Scheduled commercial banks are the safest and people should not have anything to do with cooperative bank. Co operative banks is the biggest risk. Rbl is a private bank and not cooperative bank and there is a report on money control from rbi stating that the bank is well capitalised.
When rbi appoints their nominee as a director there surely is a trust deficit that rbi is facing with the management of rbl. But its a great move as now rbi will have more info on the dealings of rbl
Hope we dont get to see another yes bank in rbl
