Case Brief
What Happened
The Reserve Bank of India has imposed a monetary penalty of Rs 2.00 lakh on Sri Bharathi Co-operative Urban Bank Ltd., Hyderabad, Telangana. RBI said the penalty was imposed under Section 47A(1)(c) read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies) for violation of RBI directions issued under Section 35A and instructions/guidelines on submission of compliance report. RBI issued a show-cause notice, considered the bank’s written reply and personal hearing, and concluded that the violations were substantiated.