The complaint, filed under relevant sections of the Bharatiya Nyay Sanhita (BNS), was lodged by Devarshi Shishir Kumar Ghosh, 48, the Acting Chief Executive Officer (CEO) of the bank.

The primary accused in the case is Hitesh Mehta, the General Manager of the bank. The FIR also names several of his colleagues, including people serving as General Manager and Head of Accounts.

According to the FIR, the accused allegedly misused their official positions, conspired, and embezzled Rs122 crore from the bank.

The investigation has been transferred to the Economic Offences Wing (EOW) of Mumbai Police. The probe will be conducted under the supervision of DCP Mangesh Shinde, who oversees banking-related financial crimes.

The RBI has imposed restrictions on the bank due to supervisory concerns and liquidity issues. The directive, effective from Thursday, bars the bank from allowing withdrawals but permits loan adjustments against deposits. Essential expenses like employee salaries, rent, and electricity bills can still be covered.

The Reserve Bank had come to know that the financial condition of this bank was not good.

The RBI is now raising questions about whether the bank has enough money or not. Therefore, people have been prohibited from withdrawing money from their savings account, current account or any other account.

The Reserve Bank has said that these restrictions have been imposed to protect the interests of the customers.

Additionally, the bank will not have the authority to sell any of its assets. These restrictions will remain in effect for a period of six months, beginning from February 13, 2025.

The restrictions caused panic among the depositors who rushed to the bank’s respective branches only to be told that they couldn’t withdraw their money.