RBI imposes monetary penalty on the Delhi Nagrik Sehkari Bank Limited, New Delhi

Case Brief

RBI imposed a monetary penalty on Delhi Nagrik Sehkari Bank Limited, New Delhi by order dated March 16, 2023. The penalty was imposed because the bank did not adhere to specific RBI directions relating to interest rates on deposits issued under the Supervisory Action Framework. RBI cited contravention of sections 35A and 36(1)(a) read with section 56 of the Banking Regulation Act, 1949, and stated that the penalty was imposed under section 47A(1)(c) read with section 46(4)(i) and section 56 of the Act after considering the bank's response to the show-cause notice and its submissions in a personal hearing.