Mumbai, Dec. 16 -- The restrictions imposed by the Reserve Bank of India (RBI) on Punjab and Maharashtra Co-operative (PMC) Bank on September 23 have pushed several housing societies in the city on the brink of a financial crisis. The central bank had capped the withdrawals from PMC Bank to Rs.50,000 for six months, after a fraud worth Rs.4,855 crore, in which several of the bank's executives are allegedly involved, came to light in September.

"Of the 35,000 co-operative housing societies registered in the city, around 2,000 have their accounts or deposits in PMC Bank," said Ramesh Prabhu, chairman of Maharashtra Societies Welfare Association.

Until 2013, it was mandatory for co-operative housing societies in the state to deposit their fu...