look news india
RBI has taken strict action against four banks in view of the lack of regulatory compliance. Heavy monetary fines have been imposed on cooperative banks located in Andhra Pradesh, Maharashtra, Karnataka and Bihar. RBI gave this information on Thursday. Let us know what are the names of these banks and why RBI has taken this step?
Penalty imposed on this bank of Andhra Pradesh
District Cooperative Central Bank Limited, located in Vijayanagaram, Andhra Pradesh has been fined Rs 50,000. This bank delayed in reporting the fraud to the National Bank for Agriculture and Rural Development (NABARD). RBI decided to impose the fine after the allegation was proved.
This bank of Bihar was fined
Through an order issued on July 11, RBI has imposed a fine of Rs 1 lakh on Vaishali District Cooperative Central Bank Ltd, Bihar. The investigation found that the bank failed to establish a system of periodic review of risk classification of accounts.
RBI's whip on this bank of Maharashtra
In an order issued on July 8, RBI has imposed a fine of Rs 2.5 lakh on Chandrapura District Central Cooperative Bank Limited of Maharashtra. During investigation it was found that the bank had sanctioned loans to its directors. After which RBI took strict action.
This bank of Karnataka is included in the list
By an order issued on July 15, 2024, Sri Harihareshwar Urban Cooperative Bank Ltd., Harihar, Karnataka has been fined Rs 50,000 for non-compliance with the directions issued on “Risk norms and statutory/other restrictions on UCBs”. The bank has violated the prudential inter-bank gross and counterparty exposure limits.