The Reserve Bank of India (RBI) has imposed fines on eight cooperative banks for violating several rules.
A fine of Rs 40 lakh has been imposed on Gujarat’s Mehsana Urban Co-operative Bank. According to the Reserve Bank, the Mehsana Urban Co-operative Bank has been fined for non-compliance with certain provisions of the Reserve Bank of India (Co-operative Banks – Rate of Interest on Deposits) Directions, 2016.
The country’s central bank said in its statement that a fine of Rs 7 lakh has been imposed on Indapur Urban Cooperative Bank, Indapur, Maharashtra for violation of certain provisions related to loan norms.
At the same time, Maharashtra’s Varud Urban Co-operative Bank, Varun, Maharashtra’s Yavatmal Urban Co-operative Bank, and Yavatmal have been fined for violating Know Your Customer (KYC) norms.
Madhya Pradesh’s District Co-operative Central Bank Limited, Chhindwara has also been fined by the Reserve Bank of India for violating KYC norms. Apart from this, RBI has also lashed its penalty on a cooperative bank of Guna.
Apart from this, a fine of Rs 25 lakh has been imposed on Chhattisgarh State Cooperative Bank Limited, Raipur for non-compliance with certain KYC provisions.
Panaji’s Goa State Cooperative Bank has also been fined.
The Reserve Bank of India keeps on taking regulatory action on cooperative and other banks of the country from time to time because it comes under the purview of RBI being a banking regulator.
