Recorded RBI impact
Fine: Rs 2.51 L
Monetary penalty · Fresh imposition
Published by RBI
8 Aug 2022
Case Brief
By an order dated August 01, 2022, RBI imposed a monetary penalty on The Goa State Co-operative Bank Ltd., Panaji for non-compliance with section 9 read with section 56 of the Banking Regulation Act, 1949. RBI said the bank failed to dispose of a non-banking asset within the statutory timeline after acquisition. After issuing a show-cause notice and considering the bank's reply, additional submissions, and oral hearing, RBI concluded that the contravention was substantiated and warranted penalty under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Act.
Why RBI Acted
RBI imposed a monetary penalty after finding that The Goa State Co-operative Bank Ltd., Panaji had not complied with section 9 read with section 56 of the Banking Regulation Act, 1949. The non-compliance related to the bank's failure to dispose of a non-banking asset within the statutory timeline; RBI issued a show-cause notice, considered the bank's reply and submissions, and concluded the charge was substantiated under section 47A(1)(c) read with sections 46(4)(i) and 56 of the Act.
Operating Impact
The bank must absorb the monetary penalty of ₹2.51 lakh; the release does not announce a suspension, restriction on operations, or withdrawal of any existing facility. No direct forward-looking customer impact is stated beyond the compliance finding.
Regulatory Basis
- section 9 read with section 56 of the Banking Regulation Act, 1949
- section 47 A (1) (c) read with sections 46 (4) (i) and 56 of the Act
Action Facts
- Primary Impact
- Fine: Rs 2.51 L
- Order Date
- 1 Aug 2022
- Effective From
- 1 Aug 2022
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- Co-operative bank