Case Brief
RBI imposed a monetary penalty of ₹2.00 lakh on The Nicholson Co-operative Town Bank Ltd., (No.8), Thanjavur District, Tamil Nadu, by an order dated September 01, 2022. The penalty was imposed for non-adherence to RBI directions under Exposure Norms and Statutory / Other Restrictions for UCBs, after an inspection found breaches of prudential inter-bank exposure limits at the counterparty as well as gross level. RBI issued a show-cause notice, considered the bank’s reply and oral submissions, and concluded that the non-compliance was substantiated and warranted the penalty under the Banking Regulation Act, 1949 (AACS).
Action Snapshot
- Primary Impact
- Fine: Rs 2.00 L
- Entity Type
- Co-operative bank
- Location
- Thanjavur District, Tamil Nadu