Loknete R.D. (Appa) Kshirsagar Sahakari Bank Ltd

RBI has extended its existing Section 35A read with Section 56 directions on Loknete R.D. (Appa) Kshirsagar Sahakari Bank Ltd., Niphad, for another three months.

The bank remains under the same RBI operating restrictions for the extended period, with the directive continuing unchanged until September 16, 2026, subject to review. Customers and counterparties continue to face the consequences of the existing supervisory restrictions, and the bank must comply with all terms of the directive during the extension period.

• Section 35A read with Section 56 of the Banking Regulation Act, 1949
• sub-section (1) of Section 35A read with Section 56 of the Banking Regulation Act, 1949

RBI has imposed a ₹30,000 penalty on Loknete R.D. Appa, Kshirsagar Sahakari Bank Ltd., Niphad, Maharashtra. The action follows violations involving loans to directors and non-cooperation during inspection.

The bank must bear the monetary penalty, and the order may not preclude any further supervisory or enforcement action RBI may choose to initiate. There is no stated operational restriction in this release, but the findings signal continued compliance expectations around lending to directors and cooperation during inspection.

• Section 20(1)
• Section 35(2) read with Section 56 of the Banking Regulation Act, 1949
• Section 47A(1)(a) read with Sections 46(2) and 46(4)(i) read with Section 56 of the BR Act

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