Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹2.50 lakh on The Madura Sourashtra Co-operative Bank Ltd. (A-336), Madurai, Tamil Nadu, by order dated September 29, 2021. The penalty was based on the bank’s non-adherence / violation of directions issued under the Supervisory Action Framework (SAF), as revealed in the inspection report for the financial position as on March 31, 2020. RBI issued a show-cause notice, considered the bank’s reply and oral submissions, and concluded that the non-compliance was substantiated. The action was taken under Section 47A(1)(c) read with Section 46(4)(i) and Section 56 of the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 2.50 L
- Entity Type
- Co-operative bank
- Location
- Madurai, Tamil Nadu