New Delhi, October 14: The Punjab and Maharashtra Co-operative (PMC) Bank fraud became public after the apex bank put the former under direction. A few days back, the suspended MD of the cooperative bank Joy Thomas’ letter revealed some shocking facts which reads “At least 21,049 dummy accounts were used by the Punjab and Maharashtra Co-operative Bank to hide accumulated non-performing assets of realty firm Housing Development and Infrastructure Limited (HDIL).”
Earlier the bank put the restriction on withdrawal limit that left the consumers in lurch and also made them angry. But one thing you should know that in case your bank goes bankrupt how can you save your hard-earned money.
For that you have something known as the deposit insurance. Let’s quickly go through what exactly is deposit insurance and how it works: