Vijaya Bank, Dena bank removed from second schedule of RBI Act
The Reserve Bank of India on Thursday said it has excluded Vijaya Bank and Dena Bank from the second schedule of the RBI Act, with effect from April 1, 2019."Vijaya Bank and Dena Bank have been excluded from the second schedule to the Reserve Bank of India Act, 1934 with effect from April 1, 2019, since they have ceased to carry on banking business with effect from April 1, 2019," RBI said in a notification.
The public sector lenders were merged into Bank of Baroda at the beginning of the current financial year and, hence, ceased to operate as banking companies separately.
All branches of Vijaya Bank and Dena Bank functions as branches of the Bank of Baroda (BoB) as the amalgamation of the former two banks came into effect from Monday (April 1). The merger of Vijaya Bank and Dena Bank with BoB was approved by the cabinet in January.
Although employees of the two merging banks appealed the Supreme Court against the merger, a two-member bench rejected the petition seeking a stay on its implementation.
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