The Reserve Bank of India on Monday imposed a monetary penalty on 10 cooperative banks for various acts of omission and commission. The apex bank also cancelled the license of Madhya Pradesh based Garha Co-operative Bank. Guna.
The co-ops banks on which RBI imposed penalty included Shree Samarth Sahakari Bank Ltd, Vaijapur Merchants Co-operative Bank Ltd, Osmanabad Janata Sahakari Bank Ltd, Tikamgarh Jila Sahakari Kendriya Bank Maryadit, Bhind Jila Sahakari Kendriya Bank Maryadit, Jalgaon District Central Co-operative Bank, Youth Development Co-operative Bank Limited, Pune People’s Co-operative Bank, Satara Sahakari Bank Ltd and Sudha Co-operative Urban Bank Ltd.
The Reserve Bank of India imposed a monetary penalty of Rs 50,000/- (Rupees Fifty Thousand only) on Shree Samarth Sahakari Bank Ltd., Nashik [the bank] for contravention of/ non-compliance with the directions issued by the RBI to Urban Co-operative Banks on Exposure Norms & Statutory/ Other Restrictions-UCBs and Board of Directors-UCBs.
Besides, the Reserve Bank of India (RBl) has imposed a monetary penalty of Rs 4.00 lakh (Rupees Four lakh only) on the Vaijapur Merchants Co-operative Bank Ltd., Vaijapur (Maharashtra) (the bank) for contravention of/ non-adherence with the directions issued by RBI to Urban Co-operative Banks on lncome Recognition and Asset Classification (IRAC) norms.
Similarly, a monetary penalty of Rs 1.50 lakh (Rupees One lakh fifty thousand only) on Osmanabad Janata Sahakari Bank Ltd., Osmanabad (Maharashtra) (the bank) for contravention of/non-compliance with the provisions of the Banking Regulation Act, 1949 (the Act) and the Depositor Education and Awareness Fund Scheme, 2014 (the Scheme).
The Reserve Bank of India (RBl) has imposed a monetary penalty of Rs 50,000/- (Rupees Fifty Thousand only) on Jila Sahakari Kendriya Bank Maryadit, Bhind (Madhya Pradesh) (the bank) for contravention of/ non-compliance with the provisions of the Banking Regulation Act, 1949 (the Act) and directions issued by NABARD on submission of returns by banks.
Whereas, a monetary penalty of Rs 1.50 lakh (Rupees One Lakh and Fifty Thousand only) on The Jalgaon District Central Co-operative Bank Ltd., Jalgaon (Maharashtra) (the bank) for contravention of/ non-compliance with the directions issued by the RBI on Know Your Customer (KYC).
The RBI has imposed a monetary penalty of Rs 1.00 lakh (Rupees One lakh only) on Youth Development Co-operative Bank Limited, Kolhapur for non-adherence / violation of All Inclusive Directions imposed on the bank by the RBI.
A monetary penalty of Rs 1.00 lakh (Rupees One lakh only) on Pune People’s Co-operative Bank Limited, Pune (the bank) for contravention of the directions issued by the Reserve Bank of India (RBI) on Interest Rate on Deposits.
The apex bank imposed a monetary penalty of Rs 4.00 lakh (Rupees Four lakh only) on The Satara Sahakari Bank Ltd., Mumbai (the bank) for non-compliance with the directions issued by RBI on ‘Management of Advances and Exposure Norms and Statutory/Other Restrictions-UCBs’.
A monetary penalty of Rs 2.00 lakh (Rupees Two lakh only) on Sudha Co-Operative Urban Bank Ltd., Regd No.599/TH, Suryapet, Telangana (the bank) for non-compliance with directions issued by RBI on Board of Directors, Exposure Norms and Statutory / Other Restrictions and Income Recognition, Asset Classification, Provisioning and Other related Matters as applicable to Urban Co-operative Banks.
This penalty has been imposed in exercise of powers vested in the 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 (AACS), taking into account the failure of the bank to adhere to the aforesaid directions issued by the RBI.
