Case Brief
What Happened
The Reserve Bank of India imposed a penalty of Rs 2.50 lakh on Bilaspur Nagrik Sahakari Bank Ltd., Bilaspur, Chhattisgarh. The action followed inspection findings that the bank had not adhered to the prudential inter-bank gross exposure limit and had not complied with the prudential inter-bank counterparty limit under RBI's Directions on Exposure Norms & Statutory/Other Restrictions-UCBs. RBI said the violations were substantiated after considering the bank's reply and oral submissions, and the penalty was levied under the Banking Regulation Act, 1949.