Sergqpm: Created a entry more to come.

2026-03-04T08:50:53Z

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{{Short description|Indian cooperative bank}}
{{Use dmy dates|date=April 2025}}
{{Use Indian English|date=April 2025}}
{{Infobox company
| name = New India Cooperative Bank
| logo = New India Co-operative Bank Logo.png
| logo_size = 280px
| logo_upright =
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| trade_name =
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| romanized_name =
| former_name = Bombay Labour Cooperative Bank Ltd.
| type = [[Cooperative Bank|Cooperative bank]]
| traded_as =
| ISIN =
| industry = [[Banking]], [[Financial services]]
| genre =
| predecessor =
| founded = {{Start date and age|df=yes|1967|12|06}} in [[Mumbai]], India
| founder = [[George Fernandes]]<br>[[Ranjit Bhanu]]
| defunct =
| fate =
| successor =
| hq_location =
| hq_location_city = [[Mumbai]], Maharashtra
| hq_location_country = India
| num_locations = 30 branches
| num_locations_year = 2024
| area_served = [[Maharashtra]], [[Gujarat]]
| key_people = Shreekant (Administrator)
| products = Loans, banking services
| production =
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| brands =
| services = Retail banking, loans (home, personal, small business)
| revenue =
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| net_income = {{decrease}}₹22.77 crore loss (2023–24)<ref name=indianexpress/>
| net_income_year = 2024
| aum =
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| ratio = 9.06% (CRAR, 2024)
| rating =
| website = https://www.newindiabank.in/
| footnotes =
| embed =
}}
'''New India Cooperative Bank Limited''' (also known as '''NICB''') is a Mumbai-based [[Cooperative banking|cooperative bank]],<ref>{{cite news |title=New India Co-op Bank gets shareholders' nod to become an SFB |url=https://www.thehindubusinessline.com/money-and-banking/new-india-co-op-bank-gets-shareholders-nod-to-become-an-sfb/article30608534.ece |publisher=[[The Hindu Business Line]] |date=20 January 2020}}</ref> which was incorporated on 6 December 1967.<ref>{{cite web |title=53rd Annual Report 2019-2020 |url=https://www.newindiabank.in/pdf_new/useful_infos/annual_report2019_20.pdf |website=newindiabank.in}}</ref> It provides a range of financial services, including home, personal, and small business loans.<ref>{{cite news |title=New India Co-operative Bank Ltd |url=https://www.bloomberg.com/profile/company/8155326Z:IN |publisher=Bloomberg |date=20 February 2025}}</ref> As of March 2024, the bank operated 30 branches across [[Maharashtra]] and [[Gujarat]], managing deposits of ₹2,436 crore<ref name=indianexpress/> and serving over 130,000 depositors.<ref name=hindustan>{{cite news |last1=Dalvi |first1=Vinay |title=New India bank customers mull long road ahead, file complaint |url=https://www.hindustantimes.com/cities/mumbai-news/new-india-bank-customers-mull-long-road-ahead-file-complaint-101739733829632.html |publisher=[[Hindustan Times]] |date=20 February 2025}}</ref> The bank reported losses of ₹22.78 crore in 2023–24 and ₹30.74 crore in 2022–23.<ref name=indianexpress/>

Since February 2025, the bank has been under scrutiny by the Reserve Bank of India over an alleged ₹122 crore scam.<ref>{{cite news |title=India's RBI imposes business curbs at New India Co-operative Bank on supervisory concerns |url=https://www.reuters.com/business/finance/india-central-bank-bars-new-india-co-operative-bank-issuing-new-loans-taking-2025-02-13/ |publisher=[[Reuters ]] |date=13 February 2025}}</ref><ref name=indianexpress/>

== History ==
[[File:George Fernandes (cropped).jpg|180px|thumb|[[George Fernandes]] was the co-founder of the New India Co-operative Bank]]
New India Cooperative Bank was established in 1968 with the support of socialist leader and former Defence Minister [[George Fernandes]].<ref name=deccanherald>{{cite news |last1=Bose |first1=Mrityunjay |title=Bank founded by ex-minister George Fernandes faces crisis |url=https://www.deccanherald.com/india/bank-founded-by-ex-minister-george-fernandes-faces-crisis-3407491 |publisher=[[Deccan Herald]] |date=15 February 2025}}</ref> The bank was founded with the objective of providing financial services to underserved communities and promoting cooperative banking in India.<ref name=hindustan/><ref>{{cite journal |title=New India Cooperative Bank: twenty years of growth and service |journal=The OtherSide |date=1988 |issue=72–83 |pages=6 |url=https://books.google.com/books?id=ZcogAQAAMAAJ&q=Bombay+Labour+Cooperative+Bank |publisher=Ravi Nair for Pratipaksh Prakashan}}</ref><ref>{{cite journal |title=India Today |journal=[[India Today]] |date=1986 |issue=11 |pages=61 |url=https://books.google.com/books?id=mYAMAQAAMAAJ&q=Bombay+Labour+Cooperative+Bank |publisher=[[Living Media India]]}}</ref>

The bank was initially headquartered at the residence of [[Ranjit Bhanu]], a criminal lawyer, trade unionist, former MLA, and co-founder,<ref name=deccanherald/> at Bazargate in [[Fort (Mumbai precinct)|Fort]]. It commenced operations with 555 members who had contributing an initial share capital of ₹1 lakh.<ref>{{cite news |last1=Kulkarni |first1=Dhaval |last2=Mukherjee |first2=Ashish |title=How New India Cooperative Bank's better days had a George Fernandes link |url=https://www.indiatoday.in/india-today-insight/story/how-new-india-cooperative-banks-better-days-had-a-george-fernandes-link-2687177-2025-02-28 |publisher=[[India Today]] |date=28 February 2025}}</ref>

It was then known as the '''Bombay Labour Cooperative Bank Ltd'''.<ref name=deccanherald/> It was renamed New India Cooperative Bank in 1977 after the [[The Emergency (India)|Emergency]].<ref>{{cite news |last1=Gupta |first1=Rohit |title=New India Co-op Bank: Financial parameters shrink, not the spirit |url=https://www.indiancooperative.com/banks/new-india-co-op-bank-financial-parameters-shrink-not-the-spirit/ |publisher=Indian Cooperative |date=31 October 2018}}</ref> The bank's founders took inspiration from the [[Bank der Deutschen Arbeit |German Labour Bank]] model, which provided services to both workers and businesses.<ref name=deccanherald/>

On 14 February 2025, the [[Reserve Bank of India]] appointed Shreekant, former Chief General Manager of [[State Bank of India]], as the Administrator of the bank. A Committee of Advisors, including Ravindra Sapra (former General Manager, SBI) and a chartered accountant, was also appointed to assist in managing the bank.<ref>{{cite news |title=RBI supersedes New India Co-operative Bank Board for 12 months, appoints administrator |url=https://www.financialexpress.com/business/banking-finance-rbi-supersedes-new-india-co-operative-bank-board-for-12-months-appoints-administrator-3749505/ |publisher=[[The Financial Express (India)|The Financial Express]] |date=14 February 2025}}</ref>

== Finance ==
As of 31 March 2024, New India Cooperative Bank reduced its losses to ₹22.77 crore from ₹30.74 crore in the previous year. The bank's advances portfolio declined by ₹155.04 crore (11.66%) to ₹1,174.84 crore, while deposits increased by 1.26% to ₹2,436.37 crore.<ref name=indiancooperative/>

The Capital to Risk-Weighted Assets Ratio (CRAR) stood at 9.06%, below the RBI's required 10%. The bank undertook cost-cutting measures, including branch mergers and relocations, and generated ₹31.23 crore from the sale of three properties. As of March 2024, the bank’s gross NPA was 7.96%, and net NPA was 5.43%.<ref name=indiancooperative>{{cite news |last1=Gupta |first1=Rohit |title=New India Co-op Bank cuts losses; hopeful of turnaround |url=https://www.indiancooperative.com/banks/new-india-co-op-bank-cuts-losses-hopeful-of-turnaround/ |publisher=Indian Cooperative |date=3 October 2024}}</ref>

In the 2020-21 financial year, the bank recorded a net loss of ₹6.14 crore. In 2019-20, the bank had reported a net profit of ₹5.17 crore.<ref>{{cite news |last1=Gupta |first1=Rohit |title=New India Co-op Bank suffers loss, fails to give dividends |url=https://www.indiancooperative.com/banks/new-india-co-op-bank-suffers-loss-fails-to-give-dividends/ |publisher=Indian Cooperative |date=23 November 2021}}</ref>

== Alleged financial irregularities ==
In February 2025, the Economic Offences Wing of the [[Mumbai Police]] arrested Hitesh Mehta, former general manager and head of accounts at New India Cooperative Bank, for allegedly misappropriating ₹122 crore from the bank's cash reserves. Dharmesh Paun, a real estate developer, was also arrested for allegedly facilitating the diversion of funds.<ref>{{cite news |last1=Pathak |first1=Manish Kumar |title=New India bank scam: Realtor who got ₹70 crore from loot arrested |url=https://www.hindustantimes.com/cities/mumbai-news/new-india-bank-scam-realtor-who-got-70-crore-from-loot-arrested-101739733473768.html |publisher=[[Hindustan Times]] |date=17 February 2025}}</ref><ref name=indianexpress/>

An inspection by the [[Reserve Bank of India]] on 12 February 2025, identified discrepancies in the bank's cash records, revealing ₹112 crore missing from the [[Prabhadevi]] branch safe and ₹10 crore from the Goregaon branch safe. Following this, the RBI imposed withdrawal restrictions on the bank.<ref>{{cite news |last1=Mishra |first1=Ayush |title=RBI halts New India Co-op Bank operations: How to secure your savings |url=https://www.business-standard.com/finance/personal-finance/rbi-halts-new-india-co-op-bank-operations-how-to-secure-your-savings-125021900657_1.html |publisher=[[Business Standard]] |date=19 February 2025}}</ref> It has been allege that the misappropriation took place over six years, between 2019 and 2025.<ref name=indianexpress>{{cite news |last1=Yadav |first1=Vijay Kumar |title=New India Cooperative Bank scam: Ex-GM was giving depositor's money to traders as unsecured loans during Covid |url=https://indianexpress.com/article/cities/mumbai/new-india-cooperative-bank-scam-ex-gm-was-giving-depositors-money-to-traders-as-unsecured-loans-during-covid-9841364/ |publisher=[[Indian Express]] |date=18 February 2025}}</ref>

The Reserve Bank of India also superseded the board of New India Cooperative Bank for 12 months following financial and operational restrictions related to irregular lending practices.<ref>{{cite news |last1=Prasad |first1=Nikita |title=New India Co-operative Bank fraud case: How will the RBI crackdown impact account holders, depositors? |url=https://www.livemint.com/industry/banking/new-india-co-operative-bank-fraud-how-will-the-rbi-crackdown-mumbai-police-case-impact-account-holders-depositers-11739632791479.html |publisher=[[Livemint]] |date=15 February 2025}}</ref>

The Economic Offences Wing of [[Mumbai Police]] arrested former New India Cooperative Bank CEO Abhimanyu Bhoan on 20 February 2025 in connection with the ₹122 crore scam, making it the third arrest in the case.<ref>{{cite news |last1=Rajput |first1=Sagar |title=Former CEO of New India Coop Bank arrested in Rs 122-cr scam |url=https://indianexpress.com/article/cities/mumbai/eow-police-arrest-former-new-india-cooperative-bank-abhimanyu-bhoan-ceo-rs-122-crore-scam-9849139/ |publisher=[[Indian Express]] |date=21 February 2025}}</ref>

As of 18 March 2025, a total of seven arrests have been made in connection with the case.<ref>{{cite news |title=Businessman held in New India Bank scam; seventh arrest so far |url=https://economictimes.indiatimes.com/news/india/businessman-held-in-new-india-bank-scam-seventh-arrest-so-far/articleshow/119169119.cms?from=mdr |publisher=[[The Economic Times]] |date=18 March 2025}}</ref>

In March 2025, the Economic Offences Wing seized properties worth ₹28 crore belonging to Hiren Bhanu, former Chairman of the bank, son of co-founder [[Ranjit Bhanu]]<ref>{{cite news |last1=Dalvi |first1=Vinay |title=New India Co-op Bank fraud: Ex-chairperson Hiren Bhanu named as accused, one more arrest |url=https://www.hindustantimes.com/cities/mumbai-news/new-india-co-op-bank-fraud-ex-chairperson-hiren-bhanu-named-as-accused-one-more-arrest-101740771162722.html |publisher=[[Hindustan Times]] |date=1 March 2025}}</ref> and an alleged mastermind of the ₹122 crore scam, under Section 106 of BNS. Hiren Bhanu and his wife, Gauri Bhanu, former Vice Chairperson of the bank, have fled abroad, and a Blue Corner notice has been issued for their extradition.<ref>{{cite news |last1=Apraj |first1=Poonam |title=₹122 Crore New India Co-op Bank Scam: EOW Seizes ₹28 Crore Properties Of Bhanu Couple |url=https://www.freepressjournal.in/mumbai/122-crore-new-india-co-op-bank-scam-eow-seizes-28-crore-properties-of-bhanu-couple |publisher=[[The Free Press Journal]] |date=19 March 2025}}</ref><ref>{{cite news |title=New India Coop Bank: EOW searches ex-chairman's home in Rs 122 cr fraud |url=https://www.business-standard.com/india-news/new-india-coop-bank-eow-searches-ex-chairman-s-home-in-rs-122-cr-fraud-125030501215_1.html |publisher=[[Business Standard]] |date=5 March 2025}}</ref>

== Penalties ==
In August 2021, the Reserve Bank of India had imposed a ₹25 lakh penalty on the bank for non-compliance with fraud monitoring and reporting guidelines, based on statutory inspections of its financial position as of March 2019.<ref>{{cite news |title=RBI imposes monetary penalty on New India Co-operative Bank, Jalgaon People's Co-operative Bank |url=https://www.moneycontrol.com/news/business/companies/rbi-imposes-monetary-penalty-on-new-india-co-operative-bank-jalgaon-peoples-co-operative-bank-7398541.html |publisher=[[Moneycontrol.com]] |date=27 August 2021}}</ref> In January 2024, a ₹15 lakh penalty was imposed on New India Cooperative Bank by RBI for non-compliance with guidelines on donations and contributions from urban cooperative banks' profits.<ref>{{cite news |title=RBI imposes monetary penalty on five cooperative banks |url=https://www.moneycontrol.com/news/business/rbi-imposes-monetary-penalty-on-nkgsb-co-operative-bank-ltd-12079011.html |publisher=[[Moneycontrol.com]] |date=18 January 2021}}</ref>

==See also==
{{Portal|Banks}}
* [[Co-operative banking]]
* [[Banking in India]]
* [[List of banks in India]]

== References ==
{{reflist}}
{{Banking in India}}
{{DEFAULTSORT:New India Cooperative Bank}}
[[Category:Banks established in 1967]]
[[Category:Cooperative banks of India]]
[[Category:Banks based in Mumbai]]
[[Category:Indian companies established in 1967]]

New India Cooperative Bank - Revision history

Sergqpm: Created a entry more to come.