Cooperative Bank – Offence under Section 3 of the Maharashtra Protection of Interest of Depositors (In Financial Establishments) Act, 1999
The respondent no.2 Nagar Cooperative Bank registered under the Maharashtra Cooperative Societies Act, 1960. It was given RBI Banking Licence on 10.12.1986.
In 2022, Crime No.121 of 2022 registered with Kotwali Police Station Ahmednagar and transferred to EOW, for offences punishable under Sections 409, 420, 467, 468, 471 read with Section 34 of the Indian Penal Code and also Section 3 of the Maharashtra Protection of Interest of Depositors (In Financial Establishments) Act, 1999.
Petition for quashing the crime mainly on the ground that MPID Act is not applicable to the cooperative bank of the respondent no.2.
HELD that merely because a cooperative bank to which the Banking Regulations Act apply, it cannot be said to have been excluded from the application of MPID Act.
Section 2(d) of MPID Act defines “financial establishment” but excludes “corporation or a cooperative society owned or controlled by any State Government or the Central Government or a banking company as defined under clause [c] of section 5 of the Banking Regulation Act, 1949.
Judgment dated 6.5.2024 in Criminal Writ Petition No.157 of 2024 of Rajendrakumar Aatmaram Agarwal Vs. The State of Maharashtra and others
