1. The Fatehpur District Co-operative Bank Limited, Uttar Pradesh Penalty Amount ₹2.00 Lakh Order Date November 20, 2025 Regulatory Basis Non-compliance with RBI directions on ‘Know Your Customer (KYC)’. 🚩 Key Deficiencies Failure to put in place a system for periodic review of risk categorization of accounts (required at least once every six months). Failure […]
1. Shri Basaveshwar Sahakari Bank Niyamitha, Bagalkot Penalty Amount: ₹1.00 Lakh Violation Category: IRAC Norms & Interest Rates on Deposits Key Details The bank failed to classify certain loan accounts as Non-Performing Assets (NPA) in accordance with Income Recognition and Asset Classification (IRAC) norms. Additionally, it opened savings deposit accounts for entities that were ineligible
1. Key Details of the Contravention This section summarizes the regulatory action taken by the Reserve Bank of India (RBI) against the bank, based on the findings from the Statutory Inspection for Supervisory Evaluation (ISE 2024). Penalized Entity: Tamilnad Mercantile Bank Limited Penalty Imposed: Rs. 39.60 Lakh Order Date: November 13, 2025 Statutory Violations: Section
The Mettupalayam Co-operative Urban Bank Limited, Tamil Nadu 1. Key Details of Regulatory Action Regulator Reserve Bank of India (RBI) Date of Order November 11, 2025 Penalty Imposed ₹1.50 Lakh (Rupees One Lakh Fifty Thousand only) Inspection Reference Date Financial position as on March 31, 2025 Regulations Violated ‘Loans and advances to directors, their relatives,
Contextual Assumption: The Root Cause Analysis (RCA), Preventive Controls, and Lessons Learned for regulatory cancellations are based on common statutory failures under Section 45-IA(6) of the RBI Act, as the specific breach was not detailed in the press releases. For voluntary surrenders, the RCA reflects strategic business decisions. 1. Parichay Commotrade Pvt Ltd Key Details
🏦 The Mumbai District Central Co-operative Bank Ltd., Maharashtra Key Details (Factual) Penalty Imposed: ₹2 Lakh (Rupees Two Lakh only). Contravention: Contravention of provisions of “Section 20 of the Banking Regulation Act, 1949 (BR Act)”. Sustained Charge: The bank had “sanctioned certain director related loans”. Financial Position Reference: As on March 31, 2024. Root Cause
The Pusad Urban Cooperative Bank Ltd., Pusad 1. Key Regulatory Details Regulatory Authority: Reserve Bank of India (RBI) Action Date: Close of Business on November 07, 2025 Statute Invoked: Section 35 A read with Section 56 of the Banking Regulation Act, 1949 Primary Restriction: Prohibited from granting/renewing loans, making investments, accepting fresh deposits, and disbursing
The Satara Sahakari Bank Ltd., Mumbai Penalty Amount: ₹2 Lakh Order Date: October 23, 2025 Inspection Reference: Financial position as on March 31, 2024 Deficiencies in Regulatory Compliance Refunded share capital despite its “CRAR (Capital to Risk-Weighted Assets Ratio) being less than the regulatory minimum”. Breached “prudential single borrower exposure limit” in certain instances. Root
1. The Mehsana Urban Co-operative Bank Limited, Gujarat Key Details Penalty Amount: ₹25,00,000 (Rupees Twenty-Five Lakh) Offence Date Reference: Financial position as on March 31, 2024 Core Violation: Non-classification of credit facilities of certain borrowers as Non-Performing Assets (NPAs). Relevant Regulation: RBI directions on ‘Income Recognition, Asset Classification, Provisioning and Other Related Matters – UCBs’.
1. The Arantangi Co-operative Town Bank Limited Key Details State: Tamil Nadu Penalty Amount: ₹50,000/- Date of Order: October 22, 2025 Violation Area: Declaration of dividend by UCBs Charge Sustained: Paid dividend from “accumulated profits of previous years”. Root Cause Analysis (RCA) The primary root cause is likely a misinterpretation or lack of adherence to
