Case Brief
The Reserve Bank of India imposed a monetary penalty on The Pragati Co-operative Bank Ltd., Thara (Gujarat) after finding non-compliance with RBI directions governing loans and advances to directors, their relatives, and firms/concerns in which they are interested, as well as loans where directors act as sureties/guarantors. The penalty was imposed under Section 47A(1)(c) read with Section 46(4)(i) and Section 56 of the Banking Regulation Act, 1949, following a statutory inspection, show-cause notice, and consideration of the bank’s reply and oral submissions.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- Co-operative bank
- Location
- Thara, Gujarat
- Order Date