The Reserve Bank of India has imposed monetary penalties on two UCBs namely Sawantwadi Urban Cooperative Bank, Sindhudurg and Udyam Vikas Sahakari Bank Limited, Pune on Thursday.
Sawantwadi Urban Cooperative Bank was penalized for non-compliance with directions contained in the Supervisory Action Framework (SAF) issued by RBI.
The 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, clarifies RBI.
In case of Udyam Vikas Sahakari Bank, RBI penalized it for contravention of the directions issued by RBI on Exposure Norms and Statutory / Other Restrictions – UCBs.
While a penalty of Rs one lac was imposed on Sawantwadi Urban Cooperative Bank, Udyam Vikas Sahakari Bank has to pay Rs 2 lacs.