RBl imposes monetary penalty on the National Urban Co-operative Bank Limited, New Delhi

Case Brief

RBI imposed a monetary penalty on National Urban Co-operative Bank Limited, New Delhi by order dated June 14, 2021. The penalty was levied because the bank failed to adhere to specific RBI directions issued under the Supervisory Action Framework (SAF), amounting to contravention of sections 36(1) and 56 of the Banking Regulation Act, 1949. RBI said the action was based on deficiencies in regulatory compliance and was not intended to pronounce on the validity of any transaction or agreement with customers.