Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹1.00 lakh on The Prathamik Shikshak Sahakari Bank Limited, Satara, Maharashtra, for non-compliance with RBI directions on ‘Management of Advances-UCBs’. RBI said its inspection found that the bank had sanctioned gold loans beyond the prescribed regulatory limit under the bullet repayment scheme. 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 reply and oral submissions.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- Co-operative bank
- Location
- Satara, Maharashtra
- Order Date