Recorded RBI impact
Fine: Rs 50,000
Monetary penalty · Fresh imposition
Published by RBI
9 Sept 2015
Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹50,000 on Sree Chaitanya Co-operative Bank Ltd., Nadia (West Bengal), under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies). RBI said the bank violated requirements relating to non-publication and non-submission of accounts and balance sheet. After issuing a show-cause notice and considering the bank’s written reply, RBI concluded that the violation was substantiated and warranted penalty.
Why RBI Acted
RBI imposed a monetary penalty under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies) after concluding that the bank had violated requirements relating to non-publication and non-submission of its accounts and balance sheet. The bank had replied to a show-cause notice, but RBI found the violation substantiated and fit for penalty.
Operating Impact
The bank must absorb the penalty and comply more carefully with statutory reporting and disclosure requirements going forward. The action does not indicate a restriction on operations, but it signals regulatory scrutiny over financial statement publication and submission obligations.
Regulatory Basis
- Section 47A (1) (b) read with Section 46(4) of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies)
Action Facts
- Primary Impact
- Fine: Rs 50,000
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- Co-operative bank