<h1>Regulatory intervention: RBI prohibits new lending and supersedes bank board after alleged staff misappropriation, administrator appointed.</h1> RBI imposed operational restrictions after detecting alleged staff misappropriation during a spot inspection, prohibiting new loans and suspending deposit withdrawals, then superseded the board and appointed an Administrator and a Committee of Advisors to manage the bank and address governance failures. Most depositors hold balances within the statutory deposit insurance limit, which is expected to cover insured claims if the bank is liquidated.