Case Brief
RBI, by an order dated June 05, 2024, imposed a monetary penalty on Vishwakalyan Sahakara Bank Niyamit, Hubli, Karnataka for non-compliance with certain RBI directions on Exposure Norms & Statutory/Other Restrictions applicable to UCBs. After a statutory inspection and follow-up supervisory process, RBI concluded that the bank had not adhered to prudential inter-bank (Gross) and counterparty exposure limits, despite considering the bank’s reply and oral submissions at personal hearing. The penalty was imposed 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 25,000
- Entity Type
- Co-operative bank
- Location
- Hubli, Karnataka