The Reserve Bank of India has imposed a monetary penalty on U.P. Civil Secretariat Primary Co-operative Bank Limited, Lucknow (U.P.) in exercise of powers vested in it.
The UCB was found guilty of violation of RBI Instructions and Guidelines on carrying out Concurrent Audit of Investment Portfolio, Prudential Norms on Inter-bank Gross Exposure and Counter Party Limit, Membership of Credit Information Companies.
It also defaulted on Know Your Customer guidelines, non-submission of compliance to RBI Inspection Report and making donation despite having an accumulated loss during the previous year.
The Reserve Bank of India had issued a Show Cause Notice to the bank, in response to which the bank submitted a written reply.
After considering the facts of the case, the bank’s reply in the matter and personal hearing, the Reserve Bank of India came to the conclusion that the violations were substantiated and warranted imposition of penalty.