Case Brief
What Happened
RBI imposed a monetary penalty of ₹5.00 lakh on Urban Co-operative Bank Ltd., Mainpuri, Uttar Pradesh by order dated July 30, 2024. The penalty followed a statutory inspection and show-cause process and was based on non-compliance with RBI directions on investments by Primary (Urban) Co-operative Banks, including breaches of prudential inter-bank gross exposure and counterparty exposure limits. The action was taken under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.