The Reserve Bank of India (RBI) has cancelled the licence of The Baripada Urban Co-operative Bank, Baripada (Odisha) to conduct banking business in India.

The bank has ceased to be solvent, all efforts to revive it had failed, and the depositors were being inconvenienced by continued uncertainty.

''With the cancellation of licence and commencement of liquidation proceedings, the process of paying the depositors of The Baripada Urban Co-operative Bank, Baripada (Odisha) the amount insured as per the DICGC Act, will be set in motion subject to the terms and conditions of the Deposit Insurance Scheme,'' the RBI said.

RBI took the extreme measure of cancelling the licence of the bank in the interest of bank's depositors.