Case Brief
RBI imposed a monetary penalty of ₹3.00 lakh on Lokmangal Co-operative Bank Ltd., Solapur by order dated March 14, 2023. The action was taken because the bank sanctioned loans to nominal members beyond the prescribed regulatory limit, breaching RBI directions on Exposure Norms and Statutory/Other Restrictions for Urban Co-operative Banks. RBI said 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 considering the bank's replies and oral submissions.
Action Snapshot
- Primary Impact
- Fine: Rs 3.00 L
- Entity Type
- Co-operative bank
- Location
- Solapur, Maharashtra
- Order Date