The Maharashtra government has suggested merger of the scam-hit Punjab & Maharashtra Cooperative (PMC) Bank with the MSC Bank in a bid a provide relief to depositors of the troubled lender, state minister Jayant Patil said on Thursday.

If the need be, the state government will speak to the Reserve Bank of India (RBI) on the issue of merger of the Maharashtra State Cooperative (MSC) and PMC banks, he said. "I spoke to the MSC Bank chairman day before yesterday. We have suggested the MSC Bank to try to merge the PMC bank with it so that the poorest of its depositors get relief," Patil told reporters here. The PMC Bank has been put under restrictions by the RBI, after an alleged R4,355 crore scam came to light following which the deposit withdrawal was initially capped at R1,000, causing panic and distress among depositors.