Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 2.00 lakh on Aligarh Zila Sahkari Bank Ltd., Aligarh, Uttar Pradesh, by order dated March 22, 2023. The penalty was imposed for contravention of section 20 read with Section 56 of the Banking Regulation Act, 1949 after a NABARD inspection found that the bank had granted unsecured loans/advances to its director. RBI said the breach was substantiated and invoked Section 47A(1)(c) read with Section 46(4)(i) and Section 56 of the Act.
Action Snapshot
- Primary Impact
- Fine: Rs 2.00 L
- Entity Type
- Co-operative bank
- Location
- Aligarh, Uttar Pradesh
- Order Date