Plea to ease RBI moratorium

KANNUR NOV. 7. The North Malabar Chamber of Commerce (NMCC) has demanded easing of the Reserve Bank of India's moratorium on deposits in the Nedungadi Bank.

The NMCC president, K. Thrivikraman, in a statement here today said that the moratorium had left large number of traders, industrialists as well as the general public in a severe crisis. Hundreds of traders in the North Malabar region were having their working capital accounts and current accounts with the Nedungadi Bank. They found themselves in a bind after the RBI directive restricting individual withdrawal of account-holders to Rs. 5,000 during the three-month moratorium period, he said.

He said the ceiling of amount to be withdrawn from the accounts during the period should be fixed at Rs. 50,000. Moreover, efforts should be taken to accept all cheques sent for clearing. He also demanded permission to withdraw interest earned for fixed deposits.

Recommended for you