Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹3.00 lakh on The Thasra People’s Co-operative Bank Ltd., Thasra, dist. Kheda, Gujarat, following supervisory findings from its inspection with reference to the bank’s financial position as on March 31, 2023. RBI said the bank had not complied with directions relating to loans and advances to directors, their relatives and connected firms/concerns, and the management of advances for UCBs. The sustained violations included sanctioning director-related loans and certain gold loans that exceeded the prescribed Loan-to-Value ratio. 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 3.00 L
- Entity Type
- Co-operative bank
- Location
- Thasra, Gujarat