<h1>RBI Denies Banking License to Karnataka Rajya Kaigarika Vanijya Sahakara Bank for Regulatory Failures; Liquidation Ordered.</h1> The Reserve Bank of India (RBI) has rejected the application for a banking license from Karnataka Rajya Kaigarika Vanijya Sahakara Bank Niyamitha, Bangalore, due to its failure to meet regulatory requirements under the Banking Regulation Act, 1949. The bank's financial instability, including negative net worth and inadequate capital to risk assets ratio, led to this decision. The RBI has requested the Registrar of Co-operative Societies to initiate the bank's liquidation, ensuring depositors receive compensation up to Rs. 1,00,000 from the Deposit Insurance and Credit Guarantee Corporation. The bank is prohibited from conducting banking operations effective immediately.