Reserve Bank of India Imposes Monetary Penalty on 4 Cooperative and Sahakari Bank Ltd

The Reserve Bank of India (RBI) imposed monetary penalties on 4 Cooperative & Sahakari Bank Ltd. for contravention of/ non-compliance with the directions issued by the RBI on know your customer norms.

These banks are The Hyderabad District Co-Operative Central Bank Ltd., The Vyavsaik Sahakari Bank Limited, Mula Sahakari Bank Ltd., Jila Sahakari Kendriya Bank Maryadit.

Press Release are Given Below:

Reserve Bank of India imposes monetary penalty on The Hyderabad District Co-Operative Central Bank Ltd., Hyderabad, Telangana

The Reserve Bank of India (RBI) has imposed, by an order dated February 9, 2022, a monetary penalty of ₹2 lakh (Rupees two lakh only) on The Hyderabad District Co-Operative Central Bank Ltd., Hyderabad, Telangana for non-adherence / violation of certain directions issued by RBI contained in the Circular on ‘Income Recognition, Asset Classification and Provisioning- Recognition of Loan Impairment by State / Central Co-operative Banks dated December 30, 2002 and for non-transfer of the eligible funds to Depositor Education and Awareness Fund constituted as per Section 26A of Banking Regulation Act, 1949 (AACS). This penalty has been imposed in exercise of powers vested in RBI under the provisions of Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, taking into account the failure of the bank to adhere to the aforesaid directions issued by RBI.

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.

Reserve Bank of India imposes monetary penalty on Jila Sahakari Kendriya Bank Maryadit, Gwalior (M.P.)

The Reserve Bank of India (RBl) has imposed, by an order dated February 11, 2022, a monetary penalty of ₹10,000/- (Rupees Ten Thousand only) on Jila Sahakari Kendriya Bank Maryadit, Gwalior (M.P.) (the bank) for contravention of/ non-compliance with the directions issued by the RBI on Know Your Customer (KYC). This penalty has been imposed in exercise of powers vested in RBI under the provisions of Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, taking into account the failure of the bank to adhere to the aforesaid directions issued by RBI.

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.

Reserve Bank of India imposes monetary penalty on Mula Sahakari Bank Ltd., Sonai, Ahmednagar (M.H.)

The Reserve Bank of India (RBl) has imposed, by an order dated February 11, 2022, a monetary penalty of ₹25,000/- (Rupees Twenty five Thousand only) on Mula Sahakari Bank Ltd., Sonai, Ahmednagar (the bank) for contravention of/ non-adherence with Directions issued by RBI to Urban Co-operative Banks on Exposure Norms & Statutory/Other Restrictions-UCBs. This penalty has been imposed in exercise of powers vested in RBI under the provisions of Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, taking into account the failure of the bank to adhere to the aforesaid directions issued by RBI.

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.

Reserve Bank of India imposes monetary penalty on The Vyavsaik Sahakari Bank Limited, Raipur (C.G.)

The Reserve Bank of India (RBl) has imposed, by an order dated February 11, 2022, a monetary penalty of ₹3.00 lakh (Rupees Three Lakh only) on The Vyavsaik Sahakari Bank Limited, Raipur (the bank) for contravention of/ non-compliance with Directions issued by RBI on Exposure Norms and Statutory/Other Restrictions on UCBs and Board of Directors – UCBs. This penalty has been imposed in exercise of powers vested in RBI under the provisions of Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, taking into account the failure of the bank to adhere to the aforesaid directions issued by RBI.

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.

To Read Press Release Download PDF Given Below: