RBI imposed Monetary Penalty on Sahakari Bank; Check Details

The Reserve Bank of India (RBI) has imposed monetary penalty of Rs.1.00 lakh (Rupees One lakh only) on Pragati Mahila Nagarik Sahakari Bank Maryadit, Bhilai (Chhattisgarh) (the bank) for contravention of/ non-compliance with the directions issued by the RBI to Urban Co-operative Banks on “Exposure Norms and Statutory / Other Restrictions – UCBs” by an order dated November 04, 2022.

This penalty has been imposed in retaliation for the bank’s failure to follow the aforementioned instructions given by RBI under Section 47A (1)(c) read in conjunction with Section 46(4)(i) and Section 56 of the Banking Regulation Act, 1949.

This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers.