RBI fines 13 co-op banks for non-compliance

13 Dec 2022 , 08:27 AM

On Monday, the Reserve Bank of India imposed penalties against 13 cooperative banks for breaking various regulatory standards. The fines vary from Rs 50,000 to Rs 4 lakh.

Shri Kanyaka Nagari Sahakari Bank, Chandrapur, received the maximum penalty of Rs4 lakh, while The Vaidyanath Urban Co-operative Bank, Beed, received a punishment of Rs2.50 lakh.

Wai Urban Co-operative Bank in Satara and Indore Premier Co-operative Bank in Indore have each been fined Rs2 lakh.

The Tura Urban Cooperative Bank in Meghalaya and Patan Nagarik Sahakari Bank in Patan have both been fined Rs1.50 lakh for breaking several rules.

Jila Sahakari Kendriya Bank Maryadit, Chhatarpur; Nagrik Sahakari Bank Maryadit, Raigarh; Jila Sahakari Kendriya Bank Maryadit, Bilaspur; and Jila Sahakari Kendriya Bank Maryadit, Shahdol Jijau Commercial Co-operative Bank, Amravati; Eastern & North-East Frontier Railway Co-op Bank are the other banks on which fines have been imposed.

In each instance, the RBI stated that the penalties are based on regulatory compliance failures and are not meant to rule on the legality of any transaction or arrangement made by the banks with their clients.

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