.......... The banking licence of the Ahmedabad-headquartered GICB was cancelled by the RBI due to insolvency in November last year. The bank has 20 branches in 19 cities in Gujarat. The co-operative bank's fate became uncertain after RBI clamped restrictions on it for failing to reduce its non-performing assets (NPAs). In September 2008, the bank was placed under section 35A of the Banking Regulation Act 1949 which places a ceiling on repayment of deposits per depositor. "The bank has a bagful of scandals where loans worth crores have been given without taking collateral. The bank has deposits worth Rs 535 crore and NPAs of Rs 300 crore," said Bipin Shah, who was appointed on the bank's administration board by RBI.........
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