RBI Imposes Penalty on Three Cooperative Banks

IANS 26 November 2019

Investor Interest

The Reserve Bank of India (RBI) on Tuesday penalised three cooperative banks—Nesargi Urban Co-operative Bank Limited, Krishna Pattana Sahakar Bank Niyamitha and Ron Taluka Primary Teachers' Cooperative Credit Bank Limited—for non-submission of returns under Section 27 (2) of the Banking Regulation Act, 1949.

Krishna Pattana Sahakar Bank Niyamitha was fined Rs40,000 while Nesargi Urban Cooperative Bank Limited and Ron Taluka Primary Teachers' Cooperative Credit Bank were fined Rs20,000 each.

RBI said this action was in exercise of the powers vested in it under the provisions of Section 47 A (1) (c) read with Section 46 (4) of the Banking Regulation Act, 1949 (as applicable to cooperative societies) for non-submission of the returns under Section 27 (2) of the Banking Regulation Act, 1949 (AACS).

RBI said it had issued a show-cause notice to the banks, in response to which the banks sought a personal hearing.

"After considering the facts of the case and bank's representation in the matter, the Reserve Bank came to the conclusion that the violation was substantiated and warranted imposition of penalty," RBI said.

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Comments

User

Basawaraj Bellad

7 years ago

The penalty should be collected from the persons who have not responded properly,instead of collecting through bank amount which effects to customers and share holders ,so it should be penalised the persons who have done mistakes

Nagaraju Bommanahalli

7 years ago

Now RBI is doing drama, first arrest scamster, RBI officers etc

Nakul Kumar Reddy

7 years ago

Penality should be greater than their immovable assets.

Dr.Dhananjaya Bhupathi

7 years ago

https://www.moneylife.in/article/rbi-imposes-penalty-on-three-co-operative-banks/58763.html
1. It is a good & timely step by RBI to mend the erring Banks.
2. Any further transparent action by the Board, CMD/CEO, or simply debit concerned Bankâ€™s P&L account & credit to RBI account?
3. None knows the ATR [Action Taken Report] of the erring bank.
4. The Indian citizenry must know the consequences of imposed penalties. Our dynamic IV estate-the Indian Press is expected to contact the penalized bank[s] & publish.
5. https://www.youtube.com/watch?v=4Si8U02s8cQ.
6. SATYAMAEVA JAYATHE!!!

Nakul Kumar Reddy

7 years ago

File case against them ,many people life spoils