Case Brief
RBI, by an order dated November 25, 2024, imposed a penalty of Rs 50,000 on The Raichur District Central Co-operative Bank Ltd., Karnataka. The action followed a NABARD statutory inspection and a subsequent show-cause process, after which RBI found that the bank had sanctioned loans to its directors, attracting contravention of Section 20 read with Section 56 of the Banking Regulation Act, 1949. The penalty was imposed under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act.
Action Snapshot
- Primary Impact
- Fine: Rs 50,000
- Entity Type
- Co-operative bank
- Location
- Raichur, Karnataka
- Order Date