Maharashtra-based PMC Bank can withdraw upto Rs 1 lakh by invoking the 'hardship provisions' of the RBI.
The apex bank enhanced the cash withdrawal limit to Rs 50,000 per account.
On Tuesday, the RBI increased the withdrawal limit from the bank's customers to Rs 50,000.
The RBI has also allowed PMC Bank account holders to withdraw money from the bank's own ATMs within the prescribed limit of Rs 50,000.
With the above relaxation, more than 78 per cent of the depositors of the bank will be able to withdraw their entire account balance.
The Enforcement Directorate is investigating the case and has attached the assets of HDIL promoters.
Reserve Bank had separate departments for supervisory, regulatory functions which were integrated into two unified departments.
Five persons, including HDIL promoters and bank's top management, have been arrested.
Arora was last week arrested by Mumbai Police''s Economic Offences Wing (EOW) in connection with the alleged Rs 4,355 crore scam.
Govt is aware of the seriousness of the situation and the ED is taking appropriate action against the culprit.