Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 2 lakh on Tripura Gramin Bank, Agartala, Tripura, by order dated May 10, 2023. The penalty was for contravention of RBI directions on prudential norms relating to provisioning, asset classification and exposure limits, as well as RBI norms on income recognition, asset classification and provisioning for non-performing assets. NABARD’s statutory inspection found that the bank had failed to classify certain loan accounts as non-performing in accordance with IRAC norms. After a notice, the bank’s reply, additional submissions and oral hearing, RBI concluded that the charge of non-compliance was substantiated and warranted penalty under the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 2.00 L
- Entity Type
- Bank
- Location
- Agartala, Tripura