RBI intervenes as another bank comes close to collapse
Failure of Lakshmi Vilas Bank highlights strain on Indian banking sector
The Reserve Bank of India intervened in a collapsing regional lender, as intense strains on the Indian banking sector flared up once more.
The RBI imposed a moratorium on Lakshmi Vilas Bank on November 17, limiting withdrawals as people rushed to pull out their money. The same day, the RBI fired the bank’s board and announced Singapore’s DBS Bank was stepping in to buy the ailing lender.
LVB has been in trouble for several years now. In a statement, the RBI noted the bank had undergone a
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