Case Brief
RBI, by order dated March 26, 2025, imposed a monetary penalty of ₹1.00 lakh on The Mysore and Chamarajnagar District Co-operative Central Bank Ltd., Karnataka. The penalty followed a statutory inspection by NABARD and a subsequent show-cause process. RBI sustained the charge that the bank had sanctioned certain loans to its director, amounting to contravention of Section 20 read with Section 56 of the Banking Regulation Act, 1949, and imposed the penalty under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Act.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- Co-operative bank
- Location
- Karnataka
- Order Date