The Reserve Bank of India has imposed a monetary penalty on Janata Sahakari Bank Limited, Gondia, Maharashtra for contravention of/ non-compliance with the directions issued by RBI.
The matter relates to Exposure Norms and Statutory/Other Restrictions on Board of Directors. This penalty has been imposed in exercise of powers vested in RBI and for 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, the RBI clarifies.
After considering the bank’s replies and oral submissions to its Show cause notice, RBI came to the conclusion that the aforesaid charge of non-compliance with RBI directions was substantiated and warranted imposition of monetary penalty.
