Dr. Babasaheb Ambedkar Nagari Sahakari Bank Ltd., Aurangabad

RBI imposed a monetary penalty after a statutory inspection found non-compliance with directions issued under ‘Exposure Norms & Statutory/ Other Restrictions – UCBs’ and operational instructions under the Supervisory Action Framework (SAF). The sustained charges were that the bank failed to adhere to the prescribed regulatory ceiling on certain advances and offered interest rates on certain deposits higher than those offered by the State Bank of India, contrary to SAF directions. The penalty was imposed under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949, after consideration of the bank’s reply, additional submissions, and oral hearing.

The bank must absorb the monetary penalty; the release does not impose a new operating ban or withdrawal restriction. However, the finding signals continued supervisory concerns over exposure limits and deposit pricing compliance, and RBI may initiate further action if breaches persist.