RBI imposes penalty on Vananchal Gramin Bank for violation of Branch Licensing Guidelines
Case Brief
The Reserve Bank of India imposed a penalty of Rs 50,000 on Vananchal Gramin Bank, Dumka, Jharkhand under Section 47A read with Section 46(4) of the Banking Regulation Act, 1949. RBI said the bank had violated Branch Licensing Guidelines. After issuing a show cause notice, RBI considered the bank's reply and personal submissions and concluded that the violations were substantiated and warranted the penalty.
RBI imposed a monetary penalty under Section 47A read with Section 46(4) of the Banking Regulation Act, 1949 after issuing a show cause notice, considering the bank's written reply and personal submissions, and concluding that the violations of Branch Licensing Guidelines were substantiated.
Severity Assessment
The action is a monetary penalty of Rs 50,000, which falls within the lowest monetary band (<= Rs 5 lakh).
Vananchal Gramin Bank must absorb the monetary penalty and no operational restriction is described in this release. The action is a completed compliance sanction for the identified branch licensing violation.
Published as Vananchal Gramin Bank
RegOversight structures the official RBI release for search and analysis. Use the linked release as the authoritative source.
© 2026 RegOversight by OddVector