Case Brief
RBI imposed a monetary penalty of ₹1.50 lakh on Vita Urban Co-operative Bank Ltd., Vita, Maharashtra, by order dated July 03, 2023. The penalty was imposed for contravention of Section 26-A read with Section 56 of the Banking Regulation Act, 1949 and RBI directions on ‘Maintenance of Deposit Accounts’. RBI said its inspection found that the bank had not transferred the eligible amount to the Depositor Education and Awareness Fund (DEAF) and had not conducted the annual review of inoperative accounts. After considering the bank’s reply to the show-cause notice, RBI held the non-compliance substantiated and imposed the penalty under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act.
Action Snapshot
- Primary Impact
- Fine: Rs 1.50 L
- Entity Type
- Co-operative bank
- Location
- Vita, Maharashtra