Case Brief
By an order dated October 1, 2021, RBI imposed a monetary penalty of ₹1.00 lakh on Balasinor Nagrik Sahakari Bank Ltd., Balasinor, Dist. Mahisagar (Gujarat). The penalty was for non-compliance with RBI directions on loans and advances to directors, relatives, and firms/concerns in which they are interested. RBI said the violation was identified during statutory inspection for the bank's financial position as on March 31, 2019, and that the breach was confirmed after a show-cause notice, the bank's reply, and oral submissions at the hearing. The penalty was imposed 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 1.00 L
- Entity Type
- Co-operative bank
- Location
- Balasinor, Gujarat