Recorded RBI impact
Fine: Rs 2.00 L
Monetary penalty · Fresh imposition
Published by RBI
8 May 2025
Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹2.00 lakh on Shree Warana Sahakari Bank Limited, Warananagar, Maharashtra, by an order dated May 05, 2025. The penalty was imposed after a statutory inspection (with reference to the bank’s financial position as on March 31, 2024) and a show-cause notice process. RBI found that the bank had failed to transfer eligible unclaimed amounts to the Depositor Education and Awareness Fund within the prescribed time, constituting a contravention of Section 26A read with Section 56 of the Banking Regulation Act, 1949. The action was taken under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act.
Why RBI Acted
RBI imposed a monetary penalty after supervisory inspection found that the bank had contravened Section 26A read with Section 56 of the Banking Regulation Act, 1949. The sustained charge was that the bank failed to transfer eligible unclaimed amounts to the Depositor Education and Awareness Fund within the prescribed time. The penalty was imposed under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act.
Operating Impact
The bank must pay the penalty and remain subject to RBI supervisory oversight. The order does not invalidate customer transactions or agreements, but it highlights a compliance lapse regarding unclaimed amounts and related statutory timelines. RBI also notes that the penalty is without prejudice to any other action that may be initiated against the bank.
Regulatory Basis
- Section 26A read with Section 56 of the Banking Regulation Act, 1949
- Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act
Action Facts
- Primary Impact
- Fine: Rs 2.00 L
- Order Date
- 5 May 2025
- Effective From
- 5 May 2025
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- Co-operative bank