Odisha govt returns money to Urban Cooperative Bank depositors, 117 get Rs 2.8 crore on first day

The Odisha government has begun the process of refunding money to the depositors who had accounts in the Bhubaneswar Urban Co-operative Bank which shut down in 2015.

The bank had shut down due to complete mismanagement.

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Chief Minister Launches Refund Ceremony, Hands Over Cheques

Chief Minister Mohan Charan Majhi on Monday launched the process to refund money and as many as 117 depositors got back their deposits worth Rs 2.80 crore on the first day, an official release issued by the CMO said.

Majhi handed over cheques to nine depositors and refunded the money at a function at Lok Seva Bhawan here.

Next Steps: Refunds Planned for Depositors of Other Urban Co-operative Banks

The money belonging to the depositors of Dhenkanal, Chhatrapur, Aska and Bhanjanagar Urban Co-operative Banks will also be refunded soon, he said.

More than Rs 6 crore will be refunded to 17,859 depositors of these four banks, the official release said.

Official sources said that the government will refund an amount of Rs 20.96 crore to 9,537 depositors of the Bhubaneswar Urban Co-operative Bank.

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Though 11,673 depositors were entitled to get back their Rs 33.87 crore, around 2,709 small depositors were given their money back. They had deposits of less than Rs 1 lakh each, the sources said.

Now, the government has started refunding the money to the depositors who had more than Rs 1 lakh each in their accounts in the Bhubaneswar Urban Cooperative Bank.

(With PTI inputs)