Recorded RBI impact
Fine: Rs 25,000
Monetary penalty · Fresh imposition
Published by RBI
4 Aug 2025
Case Brief
RBI, by an order dated July 30, 2025, imposed a monetary penalty of Rs 25,000 on The Sonepat Central Cooperative Bank Ltd., Haryana for non-compliance with RBI directions on membership of Credit Information Companies by co-operative banks. The penalty was imposed after NABARD’s statutory inspection and subsequent supervisory proceedings, including a show-cause notice and hearing. RBI sustained the charge that the bank failed to submit credit information of its borrowers to all four CICs, and imposed the penalty under Section 25 read with Section 23 of the Credit Information Companies (Regulation) Act, 2005.
Why RBI Acted
RBI imposed a monetary penalty under Section 25 read with Section 23 of the Credit Information Companies (Regulation) Act, 2005 after supervisory findings showed non-compliance with RBI directions on membership of CICs by co-operative banks. The sustained charge was that the bank failed to submit credit information of its borrowers to all four CICs.
Operating Impact
The bank must absorb the penalty and address the compliance lapse in its CIC reporting processes. The order does not itself impose an operational restriction, but RBI notes that further action may still be initiated if warranted.
Regulatory Basis
- Section 25 read with Section 23 of the Credit Information Companies (Regulation) Act, 2005
Action Facts
- Primary Impact
- Fine: Rs 25,000
- Order Date
- 30 Jul 2025
- Effective From
- 30 Jul 2025
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- Co-operative bank