rbi: RBI imposes Rs 44 lakh penalty on 4 co-op banks

The Reserve Financial institution has imposed penalties totalling Rs 44 lakh on 4 cooperative banks, together with a Rs 16 lakh penalty on Chennai-based The Tamil Nadu State Apex Co-operative Financial institution, for contravention of varied norms. A penalty of Rs 13 lakh has been imposed on Bombay Mercantile Co-operative Financial institution because it did not switch eligible quantity to Depositor Schooling and Consciousness Fund (DEAF) throughout the prescribed interval and transferred the identical with delay, RBI mentioned in a launch on Monday.

In a separate launch, the central financial institution mentioned a penalty of Rs 13 crore has been imposed on Janata Sahakari Financial institution, Pune for non-compliance with instructions on ‘Curiosity Charge on Deposits’.

Penalty has been imposed on The Tamil Nadu State Apex Co-operative Financial institution because it did not switch eligible quantities to the Depositor Schooling and Consciousness Fund throughout the prescribed interval. It additionally did not report a fraud to NABARD throughout the prescribed timeline and reported the identical with delay.

A financial penalty of Rs 2 lakh has been imposed on Baran Nagrik Sahkari Financial institution, Baran, Rajasthan for contravention of sure norms.

The penalties are primarily based on deficiencies in regulatory compliance and isn’t meant to pronounce upon the validity of any transaction or settlement entered into by the banks with their prospects, the RBI mentioned.