Case Brief
RBI, by order dated November 25, 2024, imposed a monetary penalty of Rs 1,00,000 on The Kanara District Central Co-operative Bank Ltd., Karnataka. The penalty followed a statutory inspection by NABARD and a show-cause process, and RBI concluded that the bank had contravened Section 20 read with Section 56 of the Banking Regulation Act, 1949 by sanctioning loans to its directors and to companies/concerns in which the directors were interested. 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 1.00 L
- Entity Type
- Co-operative bank
- Location
- Karnataka
- Order Date