The Reserve Bank of India (RBI) on Tuesday revised the withdrawal limit for Punjab and Maharashtra Co-Operative Bank customers to Rs 50,000.

With this relaxation, about 78% of the depositors of the bank will be able to withdraw their entire account balance, the RBI said. 

The RBI had on September 23 placed restrictions over account holders of PMC Bank after allegations of financial irregularities, limiting the total value of the transaction at 10,000.

The RBI then increased the withdrawal limit to Rs 25,000 on October 3, then Rs 40,000 on October 14 and now it has been further raised to 50,000. 

"It has also been decided to allow the depositors to withdraw from the bank’s own ATMs within the prescribed limit of  Rs 50,000. This is expected to ease the process of withdrawals," the RBI said in a statement on Tuesday. 

The Economic Offences Wing of Mumbai Police is currently probing an alleged fraud of Rs 4,355 crore in the PMC Bank.

The Enforcement Directorate (ED) has also registered a case and is probing money laundering by the accused. 

Four people including former PMC Bank chairman Waryam Singh, former managing director Joy Thomas, and HDIL promoters Rakesh Wadhawan and Sarang Wadhawan are in police custody in connection with the bank fraud case.