Vita Urban Co-operative Bank Ltd., Vita, Maharashtra

Following statutory inspection with reference to the bank’s financial position as on March 31, 2022, and examination of the Risk Assessment Report and related correspondence, RBI found that Vita Urban Co-operative Bank Ltd. had not transferred the eligible amount to the Depositor Education and Awareness Fund (DEAF) and had not conducted annual review of inoperative accounts. RBI concluded that these non-compliances constituted contravention of Section 26-A read with Section 56 of the Banking Regulation Act, 1949, and RBI directions on ‘Maintenance of Deposit Accounts’, warranting a monetary penalty under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act.

The bank must absorb the monetary penalty and address the compliance gaps identified by RBI, particularly DEAF transfers and periodic review of inoperative accounts. There is no indication of a broader operational restriction, but the bank remains accountable for ongoing adherence to RBI deposit-account directions.