RBI appoints 3-member panel to oversee Lakshmi Vilas Bank

New Delhi: After shareholders ousted seven directors of the board, the Reserve Bank of India has approved appointment of three-member Committee of Directors (CoD) to run the daily affairs of debt-ridden Lakshmi Vilas Bank (LVB).

This CoD will exercise the discretionary powers of MD CEO in the ad-interim, the bank said in a statement on Monday.the rbi on september 27 appointed the cod composed of three independent directors meeta makhan, shakti sinha, and satish kumar kalra, it said, adding that committee will be headed by makhan. < p>

On Friday, shareholders of LVB ousted seven directors, including its MD CEO and auditors at the AGM. The truncated board sought to assuage investors stating that the bank's liquidity situation was comfortable and assured the depositors that their monies were safe.

"With Liquidity Coverage Ratio (LCR) of about 262 per cent as on September 27, against minimum 100 per cent required by RBI, the deposit-holders, bondholders, account holders and creditors are well safe guarded," the statement said.

Lakshmi Vilas Bank will continue to share information on the developments in public domain as and when they materialise, and as required by applicable law, it added.