The Reserve Bank of India imposed monetary penalties on four cooperative banks worth Rs 9 lakh. These banks are Parwanoo Urban Cooperative Bank, Sonbhadra Nagar Sahakari Bank, Jaihind Urban Cooperative Bank and Mansing Cooperative Bank.
A monetary penalty of Rs 5 lakh has been imposed on the Parwanoo Urban Co-operative Bank Limited, Parwanoo (the bank) for non-compliance with the specific directions issued by RBI under Supervisory Action Framework (SAF).
RBI imposed a monetary penalty of Rs 2.50 on Sonbhadra Nagar Sahkari Bank Limited, Sonbhadra (the bank) for contravention of the provisions of section 26A read with section 56 of the Banking Regulation Act, 1949 (BR Act).
Similarly, RBI imposed a monetary penalty of Rs 50,000 on Jaihind Urban Co-operative Bank Limited, Pune (the bank) for non-compliance with the directions issued by RBI on ‘Maintenance of Deposit Accounts – Primary (Urban) Co-operative Banks’.
And, a monetary penalty of Rs 1 lakh has been imposed on Mansing Co-operative Bank Limited, Dudhondi (the bank) for non-compliance with certain directions issued by RBI on ‘Income Recognition, Asset Classification, Provisioning and Other Related Matters- UCBs’.
These penalties have been imposed in exercise of powers vested in RBI, conferred under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.