The transactions that are put through at various agency bank branches in the State concerned are consolidated at the link cell in the respective State capitals and settled with the Reserve Bank Office in the State. Currently, Reserve Bank also handles directly, banking business of four State Governments viz., Karnataka, Maharashtra, Tamilnadu and West Bengal.
The consolidated position including the State Government transactions put through at RBI Offices is ultimately booked in the Principal Account of the respective State maintained at CAS, Nagpur. Central Accounts The Central Accounts Section (CAS) at the RBI maintains the principal accounts of both Central and State Governments.