Case Brief
The Reserve Bank of India imposed a monetary penalty on The Halol Urban Co-operative Bank Ltd., Halol, Dist. Panchmahal (Gujarat), after a statutory inspection found that the bank had not maintained the minimum Cash Reserve Ratio (CRR). RBI said this constituted contravention of its directions on maintenance of statutory reserves — CRR and SLR — applicable to primary (urban) co-operative banks. The action was taken under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949, following a show-cause process and consideration of the bank’s reply.
Action Snapshot
- Primary Impact
- Fine: Rs 2.00 L
- Entity Type
- Co-operative bank
- Location
- Halol, Gujarat