The Panchsheel Mercantile Co-operative Bank Limited

RBI imposed a ₹1 lakh penalty on The Panchsheel Mercantile Co-operative Bank Limited, Surat, for non-compliance with customer-protection directions on unauthorised electronic banking transactions.

The bank must absorb the monetary penalty; the action does not itself impose a business restriction, but it highlights supervisory non-compliance and leaves open the possibility of further RBI action. Customers are not directly subjected to an operational ban by this release, though the bank is expected to remedy the SMS-response compliance gap going forward.

• Section 47A(1)(c)
• Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949

RBI imposed a penalty of Rs 50,000 on The Panchsheel Mercantile Co-operative Bank Limited, Surat, for non-compliance with directions on placement of deposits with other banks. The bank breached the prudential inter-bank counterparty exposure limit.

The bank must absorb the monetary penalty but the release does not impose a new operating restriction. No explicit customer-facing restriction or deadline is stated; the forward impact is limited to the financial penalty and the compliance signal to the bank.

• section 47A(1)(c)
• sections 46(4)(i)
• section 56 of the Banking Regulation Act, 1949