Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 2.00 lakh on Rajkot Commercial Co-operative Bank Limited, Rajkot, Gujarat under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (AACS). The action followed findings that the bank violated RBI instructions on granting unsecured advances in excess of the prescribed ceiling and on director-related advances. RBI issued a show-cause notice, considered the bank's written reply and personal submissions, and concluded that the violations were substantiated, warranting the penalty.
Action Snapshot
- Primary Impact
- Fine: Rs 2.00 L
- Entity Type
- Co-operative bank
- Location
- Rajkot, Gujarat
- Order Date