Case Brief
What Happened
RBI imposed a monetary penalty of ₹1.00 lakh on The Santragachi Co-operative Bank Ltd., West Bengal for failure to comply with RBI directions on Exposure Norms and Statutory/Other Restrictions for UCBs. The penalty was issued after inspection found breaches of prudential inter-bank (gross) exposure limit and prudential inter-bank counter-party exposure limit. RBI stated the penalty was based on regulatory compliance deficiencies and not intended to pronounce on any transaction or agreement with customers.