RBI imposed a fine of Rs 50.35 lakh on Janalaxmi Co-operative Bank of Nashik. At the same time, a fine of Rs 3 lakh has also been imposed on Noida Commercial Co-operative Bank of Ghaziabad.
Reserve Bank of India (RBI)
The Reserve Bank of India (RBI) imposed a fine of Rs 50.35 lakh on Janalaxmi Co-operative Bank of Nashik for non-compliance with regulatory provisions. Janalakshmi Sahakari Bank has been fined for non-compliance with directions issued by the Reserve Bank on ‘Placement of Deposits by Primary (Urban) Co-operative Banks with other banks’ and ‘Subscription of Credit Information Companies (CICs)’.
Apart from this, RBI has also imposed a fine of Rs 3 lakh on Noida Commercial Co-operative Bank, Ghaziabad. This penalty has been imposed for non-compliance of provisions related to director related debt and opening of new places of business.
In a separate statement, the central bank said that the inspection report based on the financial position of the co-operative bank as on March 31, 2019 has revealed that it has failed to comply with the provisions relating to director-related loans and opening of new business places of the bank. has failed. RBI, however, said the penalty is based on deficiencies in regulatory compliance and is not intended to prolong the validity of any transaction or agreement entered into by both the lenders with their customers.
Fine imposed on this big bank too
Last week, the Reserve Bank of India (RBI) imposed a fine of Rs 5 crore on Axis Bank for violating certain provisions of its directives, including cyber security framework. Penalty imposed for violation / non-compliance of certain provisions of the directions issued by RBI. These include strengthening of control of payment ecosystem between sponsor banks and SCBs/UCBs as corporate clients, cyber security framework in banks and Reserve Bank of India (Financial Services to be Provided by Banks) Directions, 2016.
Explain that the central bank often keeps levying fines on banks for not following the rules. A few days ago, RBI imposed monetary penalty on 14 banks including Bandhan Bank, Bank of Baroda and State Bank of India (SBI) for violating various rules. These 14 banks included public sector banks, private banks, foreign banks, cooperative banks and a small finance bank.
read this also-
Fortune 500 Global List: Mukesh Ambani’s Reliance Industries out of the list of top 100 companies, SBI jumps 16 places