Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 5 lakh on Amreli Nagarik Sahakari Bank Ltd, Dist. Amreli (Gujarat), under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies). The violation related to RBI guidelines on issuance of at-par cheques/pay orders against receipt of cash. RBI said the breach was found in inspection findings for the bank’s financial position as on March 31, 2013, and after a show-cause notice, the bank’s written reply, and personal submission, the regulator concluded that the violation was substantiated and deserved penalty.
Action Snapshot
- Primary Impact
- Fine: Rs 5.00 L
- Entity Type
- Co-operative bank
- Location
- Amreli, Gujarat