Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 50,000 on Bidar Mahila Co-operative Bank Limited, Bidar, Karnataka, under Section 47A read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies). RBI said the bank violated its extant norms on grant of loans to directors and their specified relatives. After a show-cause notice and the bank's written reply, RBI concluded that the violations were substantiated and that monetary penalty was warranted.
Action Snapshot
- Primary Impact
- Fine: Rs 50,000
- Entity Type
- Co-operative bank
- Location
- Bidar, Karnataka
- Order Date