Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 3 lakh on Jijamata Mahila Sahakari Bank, Pune, Maharashtra, by order dated August 26, 2021. The penalty was imposed under Section 47A(1)(c) read with Section 46(4)(i) and Section 56 of the Banking Regulation Act, 1949 for contravention of RBI directions on Exposure Norms and Statutory / Other Restrictions applicable to urban co-operative banks. RBI said the bank had not adhered to the ceiling on advances to nominal members, based on an inspection report as of March 31, 2019. After a notice, reply, and oral hearing, RBI held the non-compliance substantiated and warranted the penalty.
Action Snapshot
- Primary Impact
- Fine: Rs 3.00 L
- Entity Type
- Co-operative bank
- Location
- Pune, Maharashtra