Ker. HC: Gain from Property Kept for Investment Purpose to be Taxed Under Capital Gains  ||  Cal. HC: Arbitrator Relying on Unverified Evidence is Contrary to Fundamental Policy of Indian Law  ||  Delhi High Court: Educational Institutions Strong Pillar of Democracy  ||  Bombay HC: If Ignorance Was an Excuse Every Accused Would Claim Unawareness of Law  ||  Calcutta High Court: Warrant of Arrest Should Not be Issued Mechanically  ||  Del. HC: Information Seeker has No Locus Standi in Penalty Proceedings Under Section 20 of RTI Act  ||  Ker. HC: Response Sought from Govt. Regarding Tourism Dept. Vehicles Carrying Dignitaries  ||  HP HC: Adultery Not a Ground to Automatically Disqualify Divorced Wife from Receiving Maintenance  ||  Ker. HC: HRC Being Quasi Judicial Body is Duty Bound to Comply With Principles of Natural Justice  ||  Del. HC: Independent Assessment of Award in Appeal u/s 37 of A&C Act Cannot be Undertaken by Courts    

RBI imposes monetary penalty on The Prakasam District Co-operative Central Bank Ltd, Ongole, Andhra Pradesh- (Reserve Bank of India) (10 Jun 2024)

MANU/RPRL/0384/2024

Banking

The Reserve Bank of India (RBI) has, by an order dated June 05, 2024, imposed a monetary penalty of ₹50,000/- (Rupees Fifty thousand only) on The Prakasam District Co-operative Central Bank Ltd, Ongole, Andhra Pradesh (the bank) for non-compliance with the directions issued by the National Bank for Agriculture and Rural Development (NABARD) on 'Frauds - Guidelines for Classification, Reporting and Monitoring'. This penalty has been imposed in exercise of powers vested in RBI, conferred under the provisions of section 47A(1)(c) read with sections 46(4) (i) and 56 of the Banking Regulation Act, 1949.

The statutory inspection of the bank was conducted by NABARD with reference to its financial position as on March 31, 2023. Based on supervisory findings of non-compliance with NABARD directions and related correspondence in that regard, a notice was issued to the bank advising it to show cause as to why penalty should not be imposed on it for its failure to comply with the said direction. After considering the bank's reply to the notice and oral submissions made by it during the personal hearing, RBI found, inter alia, that the charge of delay in reporting of fraud to NABARD was sustained, warranting imposition of monetary penalty.

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. Further, imposition of this monetary penalty is without prejudice to any other action that may be initiated by RBI against the bank.

Tags : PENALTY   IMPOSITION   NON-COMPLIANCE  

Share :        

Disclaimer | Copyright 2024 - All Rights Reserved