Case Brief
By order dated March 30, 2024, RBI imposed a monetary penalty of ₹5.00 lakh on Zila Sahakari Bank Ltd., Garhwal, Kotdwar, Uttarakhand for contravention of section 20(1)(b) and section 26A(2) read with section 56 of the Banking Regulation Act, 1949. The penalty followed a statutory inspection by NABARD and a subsequent show-cause process. RBI held that the bank had not transferred eligible unclaimed amounts to the Depositor Education and Awareness Fund within the prescribed time limit and had sanctioned a loan to its director when it was prohibited.
Action Snapshot
- Primary Impact
- Fine: Rs 5.00 L
- Entity Type
- Co-operative bank
- Location
- Kotdwar, Uttarakhand
- Order Date