Case Brief
RBI imposed a monetary penalty of Rs 1.00 lakh on Transport Co-operative Bank Ltd., Indore, Madhya Pradesh, after a statutory inspection found non-compliance with RBI directions. The violations included sanctioning loans related to directors, a loan where a director’s relative acted as guarantor, and breaching the prudential inter-bank (gross) exposure limit. RBI said the penalty was imposed under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949, after considering the bank’s reply and submissions.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- Co-operative bank
- Location
- Indore, Madhya Pradesh
- Order Date