The Government of India has sanctioned on December 21, 1999 the scheme of amalgamation for Sikkim Bank Ltd. with Union Bank of India. The scheme shall come into force with effect from December 22, 1999. All the branches of the Sikkim Bank Ltd. Shall, from December 22, 1999, function as branches of Union Bank of India.

It may be recalled that the Sikkim Bank Ltd. has been under the order of Moratorium from the close of business on September 4, 1999.