India, March 19 -- The Bombay High Court has upheld the amalgamation of fraud-hit Punjab and Maharashtra Cooperative (PMC) Bank with Unity Small Finance Bank. The court dismissed seven petitions challenging the 2022 decision of the Reserve Bank of India, observing that the scheme was in the best interest of depositors as it promises to return all their deposits with permissible interest.

"Unity Bank has literally pulled up PMC Bank and its depositors, who faced an acute financial crisis and has rather offered a fresh breath of air, by securing the interest of the depositors," said a division bench of Justice Bharati Dangre and Justice Manjusha Deshpande, while dismissing petitions filed by over 225 institutional depositors of the bank, c...