Case Brief
By an order dated May 24, 2024, RBI imposed a monetary penalty of ₹20.00 lakh on Bharati Sahakari Bank Limited, Pune. The penalty was imposed because the bank failed to comply with certain RBI directions on frauds monitoring and reporting mechanism; specifically, RBI found that the bank had delayed reporting a fraud in a current account to RBI. The action followed a statutory inspection, a show-cause notice, and consideration of the bank’s reply and oral submissions, and was taken under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 20.0 L
- Entity Type
- Co-operative bank
- Location
- Pune, Maharashtra