Case Brief
What Happened
By an order dated September 23, 2025, RBI imposed a monetary penalty of Rs 1.50 lakh on The South Canara District Central Co-operative Bank Ltd, Karnataka. The penalty was based on supervisory findings from NABARD’s statutory inspection as on March 31, 2024, which concluded that the bank breached prudential exposure limits on housing finance and held shares in another co-operative society in contravention of Section 19 read with Section 56 of the BR Act. RBI stated that the penalty was imposed under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act.