RBI imposes monetary penalty on The United Co-operative Bank Limited, Ahmedabad, Gujarat

Case Brief

The Reserve Bank of India imposed a monetary penalty on The United Co-operative Bank Limited, Ahmedabad, Gujarat, by order dated November 30, 2023. RBI said the bank failed to comply with directions on placement of deposits with other banks by Primary (Urban) Co-operative Banks, and the statutory inspection found breaches of the prudential inter-bank gross exposure limit and inter-bank counterparty exposure limit. The penalty was imposed under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.