RBI cancels Karad Janata Sahakari Bank licence, depositors will get up to Rs 5 lakh only

News Network

December 9, 2020

Mumbai, Dec 9: The Reserve Bank of India (RBI) has canceled the licence of Karad Janata Sahakari Bank to conduct banking business citing that the bank does not have adequate finance. This means that the bank is prohibited from taking any deposit or making any repayment.

The central bank also requested the Commissioner for Cooperation Registrar of Cooperative Societies, Maharashtra to issue an order for winding up the bank and appoint a liquidator for it.

However, the RBI said, the process of paying the depositors of the bank will be set in motion. This means, on liquidation, every depositor will receive up to ₹5 lakh from the Deposit Insurance and Credit Guarantee Corporation as per usual terms and conditions. More than 99% of the depositors of the bank will get full payment of their deposits from DICGC.

RBI in a notice issued on Tuesday cited that the bank does not have adequate capital and earning prospects. Hence, it would be unable to pay its present depositors in full. Public interest would be adversely affected if the bank is allowed to carry on its banking business any further.

The bank was under All Inclusive Directions for the last three years.

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Flight cancellations strand passengers overnight at Mangaluru Airport

News Network

December 4,2025

Mangaluru: Chaos erupted at Mangaluru International Airport (MIA) after IndiGo flight 6E 5150, bound for Mumbai, was repeatedly delayed and ultimately cancelled, leaving around 100 passengers stranded overnight. The incident highlights the ongoing country-wide operational disruptions affecting the airline, largely due to the implementation of new Flight Duty Time Limitations (FDTL) norms for crew.

The flight was initially scheduled for 9:25 PM on Tuesday but was first postponed to 11:40 PM, then midnight, before being cancelled around 3:00 AM. Passengers expressed frustration over last-minute communication and the lack of clarity, with elderly and ailing travellers particularly affected. “Though the airline arranged food, there was no proper communication, leaving us confused,” said one family member.

An IndiGo executive at MIA cited the FDTL rules, designed to prevent pilot fatigue by limiting crew working hours, as the cause of the cancellation. While alternative arrangements, including hotel stays, were offered, about 100 passengers chose to remain at the airport, creating tension. A replacement flight was arranged but also faced delays due to the same constraints, finally departing for Mumbai around 1:45 PM on Wednesday. Passengers either flew, requested refunds, or postponed their travel.

The Mangaluru delay is part of a broader crisis for IndiGo. The airline has been forced to make “calibrated schedule adjustments”—a euphemism for widespread cancellations and delays—after stricter FDTL norms came into effect on November 1.

While an IndiGo spokesperson acknowledged unavoidable flight disruptions due to technology issues, operational requirements, and the updated crew rostering rules, the DGCA has intervened, summoning senior airline officials to explain the chaos and outline corrective measures.

The ripple effect has been felt across the country, with major hubs like Bengaluru and Mumbai reporting numerous cancellations. The Mangaluru incident underscores the systemic operational strain currently confronting India’s largest carrier, leaving passengers nationwide grappling with uncertainty and delays.

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