India, Feb. 15 -- After the Reserve Bank of India (RBI) enforced a six-month transaction ban on the Mumbai-based New India Co-operative Bank Ltd on Thursday due to irregularities in its lending practices, scores of panic-stricken customers thronged the bank's branches on Friday, desperate to recover their life's savings.

Many were able to access lockers containing their valuables but all requests for withdrawal of funds were turned down, with banners at branch gates saying deposits would be paid back in around 90 days. At several places, police was deployed to keep the swelling crowds under check.

RBI's action

New India Co-operative Bank has 24 operative branches - 17 of these are in Mumbai, four in Thane, two in Palghar, and one in Na...