Calcutta HC: Cannot Deny Electricity Solely on Ground of Not Furnishing Ownership  ||  Madras HC: Cannot Hold Protests at Whim and Fancies  ||  Bombay HC: March of Development in Mumbai Cannot Trample Heritage Structures  ||  P&H HC: Seriousness of Offence of Drug Trafficking Can’t Trample Constitutional Safeguards  ||  Bombay HC: Cannot Deny ‘Right to Life’ to Accused who is in Custody  ||  Ker HC: Action Must be Taken against Private Nursing Colleges Not Paying Teachers as per Regulations  ||  Kerala HC: Can Make IRCTC Responsible for Managing Waste in Railway Stations  ||  J&K HC: Magistrate Can Revoke Orders or Drop Proceedings if No Case is Made Out  ||  Kerala HC Directs Placing of Draft Guidelines for Dealing With Snake Bites in Schools  ||  J&K HC: Cannot Equate Irregular Appointments with Illegal Appointments    

Reserve Bank of India imposes monetary penalty on Apna Sahakari Bank Ltd., Mumbai- (Reserve Bank of India) (23 Jan 2020)

MANU/RPRL/0012/2020

Banking

The Reserve Bank of India (RBI) has, by order dated January 22, 2020, imposed monetary penalty of Rs. 14 lakh on Apna Sahakari Bank Ltd., Mumbai, (the bank) for non-compliance with directions issued by RBI on Income Recognition and Asset Classification (IRAC) norms.

The penalty has been imposed in exercise of powers vested in RBI under the provisions of Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, for failure of the bank to adhere to the aforesaid directions issued by RBI. This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers.

Background

The statutory inspection of the bank with reference to its financial position as on March 31, 2018, conducted by RBI, revealed, inter alia, non-compliance with RBI directions on IRAC norms. In furtherance to the same, a notice was issued to the bank advising it to show cause as to why penalty should not be imposed for failure to comply with the aforesaid directions. After considering the bank's reply, oral submissions made during the personal hearing and examination of additional submissions, RBI came to conclusion that the aforesaid charges were established which warranted imposition of monetary penalty.

Tags : PENALTY   IMPOSITION   BANK  

Share :        

Disclaimer | Copyright 2025 - All Rights Reserved