Lakshmi Vilas Bank says it has liquidity

Hyderabad: Lakshmi Vilas Bank (LVB) stated that it has enough liquidity to meet its commitments towards its stakeholders.

"LVB would like to state that it has sufficient amount of liquidity to meet its commitments towards its stakeholders. It has honoured all its maturing deposits and demand for withdrawal of money, wherever the customers have chosen to withdraw, without any delay. The bank has also seen rollover of deposits on maturity and also fresh inflows (new deposits)," the bank said in a statement.

There have been news that has misrepresented the factual position prevailing in the bank. Lakshmi Vilas Bank urges its customers to rely only on communication from the bank and not believe on any misleading news, it added. The RBI has recently appointed three committee of directors (CoD) who will run the day-to-day affair of the bank. This CoD will exercise the discretionary powers of MD & CEO.

The bank is regulatorily responsible to submit to RBI daily reports on liquidity and certain key liquidity ratios. The Liquidity Coverage Ratio (LCR) continues to be above 250 per cent which is an indication of the liquidity position of the bank.