Bally Cooperative Bank Ltd

RBI imposed a penalty of Rs 1.10 lakh on Bally Co-operative Bank Ltd., Howrah, for non-compliance with PSL-related directions and failure to deposit the required amount to the MSE Refinance Fund.

The bank must absorb the monetary penalty; the release does not impose a new operating restriction, but it signals regulatory non-compliance and leaves open the possibility of further RBI action. No direct customer-facing restriction is stated in this order.

• section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949

RBI imposed a ₹1 lakh penalty on Bally Cooperative Bank Ltd., Howrah, for non-compliance with KYC directions. The bank had failed to put in place a system for periodic review of account risk categorisation.

The bank must absorb the ₹1 lakh penalty; the release does not impose any new operating restriction. The finding signals a compliance deficiency in KYC controls, especially account risk review, and may require internal remediation to avoid further supervisory action.

• Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949

RBI withdrew the Section 35A directions previously imposed on Bally Co-operative Bank Limited, Bally, Howrah. The withdrawal took effect on December 7, 2016.

The prior restrictive directions no longer apply from December 7, 2016. Bally Co-operative Bank Limited can continue operating, subject to any separate operational instructions that remain in place.

• Section 35A read with Section 56 of the Banking Regulation Act, 1949 (AACS)
• sub section (2) of Section 35A read with Section 56 of the Banking Regulation Act, 1949 (AACS)