Case Brief
RBI imposed a monetary penalty of Rs 2.50 lakh on Shree Bharat Co-operative Bank Ltd., Vadodara, Gujarat by order dated August 08, 2025. The penalty was imposed after a statutory inspection found non-compliance with RBI directions on inspection and audit systems, income recognition/asset classification/provisioning, and KYC. RBI said the bank failed to put in place a system of internal audit, failed to identify NPAs on an ongoing basis and classify certain loans and advances as NPAs, and failed to carry out periodic review of risk categorisation of certain accounts at least once in six months. The penalty was levied 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 2.50 L
- Entity Type
- Co-operative bank
- Location
- Vadodara, Gujarat