Govt Sacks Bank of Maharashtra CMD

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The Central government removed Sushil Muhnot from the post of Chairman and Managing Director of Bank of Maharashtra with immediate effect.

The move has been taken under legal powers vested with the Centre under the Nationalised Banks (Management and Miscellaneous Provisions) Scheme 1970/1980.

Muhnot is understood to have come under the lens of the Finance Ministry for misuse of powers, although several people in banking circles feel that the alleged violations were mostly over frivolous issues.

In the past, the Centre had initially suspended persons holding Chairman and Managing Director posts for any misconduct (including diversion of funds/ appropriation etc) if the CBI had registered a case against them.

Ravindra Marathe, who was Executive Director at Bank of India, assumed charge as MD and CEO of Bank of Maharashtra.

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