The Reserve Bank of India imposed monetary penalties on five cooperative banks worth Rs 14.10 lakh and extended the period of directions on two cooperative banks for further three months.
The banks on which RBI imposed fine include, Shri Shiveshwar Nagari Sahakari Bank, Prema Nagari Sahakari Bank, Maa Sharda Mahila Nagarik Sahakari Bank, Vaijapur Merchants Cooperative Bank and Gondia District Central Cooperative Bank.
The Reserve Bank of India imposed a monetary penalty of Rs 1 lakh on Shri Shiveshwar Nagari Sahakari Bank Limited, Basmatnagar, Hingoli, Maharashtra (the bank), for contravention of the provisions of section 26A read with section 56 of the Banking Regulation Act, 1949 (BR Act).
Besides, a monetary penalty of Rs 2 lakh has been imposed on Prerna Nagari Sahakari Bank Limited, Aurangabad, Maharashtra (the bank), for non-compliance with certain directions issued by RBI on ‘Loans and advances to directors, their relatives, and firms /concerns in which they are interested’.
Similarly, RBl imposed a monetary penalty of Rs 1 lakh on Maa Sharda Mahila Nagrik Sahakari Bank Maryadit, Maihar, Madhya Pradesh (the bank), for non-compliance with certain directions issued by RBI on ‘Exposure norms & Statutory/ Other Restrictions – UCBs’.
A monetary penalty of Rs 7.50 lakh on the Vaijapur Merchants Co-operative Bank Limited, Vaijapur, Maharashtra (the bank), for non-compliance with specific directions issued by RBI under Supervisory Action Framework (SAF) and with the certain directions issued by RBI on ‘Know Your Customers (KYC) norms’.
The Reserve Bank of India imposed a monetary penalty of Rs 2.60 lakh on the Gondia District Central Co-operative Bank Ltd., Maharashtra (the bank) for contravention of the provisions of section 20 read with section 56 of the Banking Regulation Act, 1949 (BR Act) and non-compliance with certain directions issued by RBI on ‘Membership of Credit Information Companies (CICs) by Co-operative Banks’.
These penalties have been imposed in exercise of powers vested in RBI, conferred under section 47A(1)(c) read with sections 46(4)(i) and section 56 of the BR Act and section 25 of the Credit Information Companies (Regulation) Act, 2005.
Additionally, the directions on Anjangaon Surji Nagari Sahakari Bank and Durga Cooperative Urban Bank have been extended for three months.
