RBI imposes monetary penalty on The Business Co-operative Bank Ltd., Nashik, Maharashtra

Case Brief

The Reserve Bank of India imposed a monetary penalty of Rs 1.00 lakh on The Business Co-operative Bank Ltd., Nashik, Maharashtra by order dated February 24, 2025. RBI said the penalty was imposed after a statutory inspection and a show-cause notice, and that the sustained charge was the bank's failure to transfer eligible unclaimed amounts to the Depositor Education and Awareness Fund within the prescribed time, in contravention of Section 26A 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.