Case Brief
RBI imposed a monetary penalty of ₹1.00 lakh on The Ottapalam Co-operative Urban Bank Ltd., Palakkad, Kerala, following a statutory inspection with reference to its financial position as on March 31, 2024. RBI said the bank failed to comply with specific directions under the Supervisory Action Framework (SAF) and with directions under the Master Direction - Credit Card and Debit Card - Issuance and Conduct Directions, 2022, including sanctioning fresh loans and advances with risk weights above 100% and issuing debit cards to certain cash credit accounts. 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 1.00 L
- Entity Type
- Co-operative bank
- Location
- Palakkad, Kerala