Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹4.00 lakh on The Rajgurunagar Sahakari Bank Limited, Pune, by an order dated October 14, 2022. RBI said the bank contravened its directions on Interest Rate on Deposits, specifically by not paying interest on balance amounts lying in current accounts of deceased individual depositors and sole proprietorship concerns when making payments to claimants. The penalty was imposed under Section 47A(1)(c) read with Section 46(4)(i) and Section 56 of the Banking Regulation Act, 1949, after a show-cause process confirmed the non-compliance.
Action Snapshot
- Primary Impact
- Fine: Rs 4.00 L
- Entity Type
- Co-operative bank
- Location
- Pune, Maharashtra