Name mix-up sends SVC’s customers into panic mode

Mumbai: Hours after the crisis affecting the Silicon Valley Bank (SVB), the US, hit the headlines, panic gripped customers of a 116-year-old Mumbai-based entity, the SVC Bank.

Scores of customers flooded the SVC Bank - earlier known as 'Shamrao Vithal Cooperative Bank' - wanting to know the status and safety of their deposits. Hoping to allay their clients' apprehensions, the SVC Bank issued a statement late on Saturday pointing to the case of a 'mistaken' identity and clarifying that it had no links with the SVB, USA, and even threatened legal action against mischief mongers.

Among them were an anxious Twitteratti who asked: "@SVC_Bank: Heard rumours about bank default, please confirm". The SVC Bank reply was: "You have got the Twitter handle wrong. We are SVC Bank, erstwhile Shamrao Vithal Cooperative Bank, one of the leading & strongest cooperative banks in India with a legacy of 116 years. We have no relation to Silicon Valley Bank". The SVC Bank added that it is an Indian multi-state scheduled urban cooperative bank which operates only in India.

"It has proven, robust and strong fundamentals with a total business of over Rs 31,500 crore and a Net Profit of over Rs 146 crore (FY21-22)," the bank said. It urged its members, customers and other stakeholders not to pay attention to baseless rumours and mischief-mongering by unscrupulous elements insinuating similarities in brand names. "SVC Bank reserves the right to take due legal action on rumour mongers for tarnishing its brand image," the bank threatened.