The Reserve Bank of India has imposed penalties on four urban co-operative banks for flouting of its various norms.
These banks are the Baramati Sahakari Bank based in Pune, Becharaji Nagarik Sahakari Bank based in Mehsana, Waghodia Urban Co-operative Bank based in Vadodara and Viramgam Mercantile Co-operative Bank based in Ahmedabad.
RBI imposed a monetary penalty of Rs 2.00 lakh on The Baramati Sahakari Bank Ltd., Baramati, Pune, Maharashtra for non-compliance with the directions issued by RBI on ‘Maintenance of Deposit Accounts – Primary (Urban) Co-operative Banks.’
RBI has imposed a penalty of Rs 2.00 lakh on The Becharaji Nagarik Sahakari Bank Ltd., Dist. Mehsana, Gujarat for non-compliance with the directions issued by RBI on ‘Placement of Deposits with Other Banks by Primary (Urban) Co-operative Banks (UCBs)’.
RBI imposed a penalty of Rs 5.00 lakh on The Waghodia Urban Co-operative Bank Ltd., Dist. Vadodara, Gujarat for non-compliance with the directions issued by RBI on ‘Loans and advances to directors, relatives and firms/concerns in which they are interested’ read with ‘Loans and advances to directors etc. – directors as surety / guarantors – clarification’; ‘Placement of Deposits with Other Banks by Primary (Urban) Co-operative Banks (UCBs)’ and ‘Reserve Bank of India (Co-operative Banks – Interest Rate on Deposits) Directions, 2016’.
The Reserve Bank of India imposed a monetary penalty of Rs 5.00 Lakh on The Viramgam Mercantile Co-operative Bank Ltd., Viramgam, Dist. Ahmedabad, Gujarat for non-compliance with the directions issued by RBI on ‘Loans and Advances to directors etc. – directors as surety/guarantors – Clarification’, ‘Placement of Deposits with Other Banks by Primary (Urban) Co-operative Banks (UCBs)’ and specific directions issued by RBI under the Supervisory Action Framework (SAF).