The Reserve Bank of India started the week by imposing monetary penalties on five cooperative banks for non-compliance with various regulatory directives. This action comes on the heels of a significant penalty of Rs 5.98 crore imposed on three cooperative banks just a week earlier, with Mehsana Urban Cooperative Bank receiving the highest penalty of Rs 5.93 crore.
This time, the RBI’s punitive measures targeted the following banks: Mahabaleshwar Urban Cooperative Bank, Nagarik Sahakari Bank, Bhiwandi, Krishna Sahakari Bank, Satara, Abasaheb Patil Rendal Sahakari Bank, and Sivagangai District Cooperative Bank.
Mahabaleshwar Urban Cooperative Bank in Maharashtra faced a penalty of Rs 2 lakh for non-compliance with RBI’s directions on ‘Exposure Norms and Statutory / Other Restrictions – UCBs’ and ‘Prudential Norms on Capital Adequacy – UCBs’.
Nagarik Sahakari Bank in Bhiwandi, Maharashtra, was penalized Rs 2 lakh for failing to comply with RBI’s directives on ‘Maintenance of Deposit Accounts – Primary (Urban) Co-operative Banks’.
Krishna Sahakari Bank in Satara, Maharashtra, received a Rs 2 lakh penalty for non-compliance with specific provisions of RBI’s guidelines on ‘Exposure Norms and Statutory/Other Restrictions – UCBs’.
Abasaheb Patil Rendal Sahakari Bank in Rendal, Maharashtra, was fined Rs 1 lakh for non-compliance with directions issued under the Supervisory Action Framework (SAF).
Sivagangai District Cooperative Bank in Tamil Nadu was penalized Rs 25,000 for failing to adhere to National Bank for Agriculture and Rural Development (NABARD) guidelines on ‘Frauds – Guidelines for Classification, Reporting and Monitoring’.
The RBI continues to enforce strict compliance measures to ensure the stability and integrity of the banking sector.