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. RBI conducted a statutory inspection on the bank’s financial position as of March 31, 2019, and the inspection report pertaining thereto, and examination of all related correspondence revealed non-compliance with the directions.
The central bank said that the inspection report based on the financial position of the co-operative bank as of 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.
