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RBI licence cancellations hit NBFCs and a co-operative bank

31st busiestof 140 comparable periods· top 22%

33 RBI action records published between 1 February 2023 and 28 February 2023: 25 fresh actions, 8 extensions of existing orders and 17 monetary-penalty actions with an amount stated, totalling ₹1.50 crore. That is 33 records against 39 over the same 28 days of January 2023, and ₹1.50 crore of disclosed penalty value against ₹89.0 lakh.

Period complete. 28 days covered.

Action records
33

39 in January 2023

Disclosed penalties
₹1.5 cr

₹89 L in January 2023

Severe actions · S4–S5
16

23 · 59% previously

Orders in force
42

4 expiring in the next window

When Action Arrived

Published action records across the covered window, split into RegOversight severity bands. Empty intervals remain visible.

RBI action records by publication interval and severity band
IntervalTotalS0–S1 · lifted / lowS2–S3 · moderate / highS4–S5 · major / severe
1 Feb0000
2 Feb0000
3 Feb3030
4 Feb0000
5 Feb0000
6 Feb1010
7 Feb0000
8 Feb0000
9 Feb1001
10 Feb2002
11 Feb1001
12 Feb0000
13 Feb2101
14 Feb0000
15 Feb0000
16 Feb0000
17 Feb1001
18 Feb0000
19 Feb0000
20 Feb11821
21 Feb0000
22 Feb0000
23 Feb0000
24 Feb7007
25 Feb0000
26 Feb0000
27 Feb2110
28 Feb2002

What Stood Out

Each finding is grounded in precomputed metrics. Open it to inspect the supporting numbers and the limits of the claim.

01

Banks drove the increase in disclosed penalty value

Disclosed penalty value rose to ₹1.50 crore from ₹89.0 lakh, an increase of ₹61.0 lakh. Bank penalties were ₹69.5 lakh against ₹0 in January 2023, while co-operative-bank penalties fell to ₹38.0 lakh from ₹59.0 lakh and NBFC penalties rose to ₹42.5 lakh from ₹30.0 lakh.

02

Severe actions made up a smaller share than in January

There were 16 severe actions, representing 48.5% of the February records, compared with 23 and 59.0% in January 2023. February also had 3 cancellations, against 0 in January 2023.

03

The largest penalties accounted for most disclosed value

The five largest penalties accounted for 87.3% of the ₹1.50 crore total. The largest was ₹42.5 lakh, or 28.3% of the total, while the median penalty was ₹1.5 lakh.

What RBI Did and Where It Landed

Amber bars show the current mix. The fine marker shows the comparable earlier period, so a change is visible rather than merely asserted.

Action mix

Primary recorded action category.

  1. Monetary penalty17 · 51.5%

    Previous 15 · 38.5%

  2. Business restriction13 · 39.4%

    Previous 22 · 56.4%

  3. Licence cancellation3 · 9.1%

Lifecycle

Fresh actions, extensions and withdrawals.

  1. Fresh action25 · 75.8%

    Previous 16 · 41%

  2. Extension8 · 24.2%

    Previous 22 · 56.4%

Entity types

Action records by regulated-entity class, not entities affected.

  1. Co-operative bank28 · 84.8%

    Previous 36 · 92.3%

  2. NBFC3 · 9.1%

    Previous 1 · 2.6%

  3. Bank2 · 6.1%

    Previous 2 · 5.1%

Why RBI acted

Overlapping themes; one action may carry several reasons.

  1. Reporting & disclosure13 · 39.4%

    Previous 12 · 30.8%

  2. Capital & exposure norms12 · 36.4%

    Previous 2 · 5.1%

  3. Customer protection10 · 30.3%

    Previous 4 · 10.3%

  4. Lending norms9 · 27.3%

    Previous 5 · 12.8%

  5. Governance & oversight8 · 24.2%

    Previous 8 · 20.5%

  6. Other7 · 21.2%

    Previous 22 · 56.4%

Defining Actions

Up to four non-duplicative actions selected for monetary impact, breadth, severity or relief. Quiet periods may show fewer.

  3. RBI cancels the licence of Garha Co-operative Bank Ltd., Guna, Madhya Pradesh

    Highest severity, single entityS5 Severe
    20 Feb 2023licence cancellation

    Garha Co-operative Bank Ltd., Guna, Madhya Pradesh

    The Reserve Bank cancelled the licence of Garha Co-operative Bank Ltd., Guna, Madhya Pradesh, because it lacked adequate capital and earning prospects and did not comply with multiple licensing requirements. Its continuance was also said to be prejudicial to depositors and public interest.

    Read case briefRBI source

What It Cost

17 actions had a disclosed amount. Totals and distribution shape are kept separate from action volume.

Median
₹1.5 L

Previous ₹2 L

Largest
₹42.48 L

Previous ₹30 L

Top five
₹1.31 cr

Previous ₹75 L

Percentiles
Suppressed

Too few priced actions for a stable tail estimate.

Change by entity type

Arithmetic attribution of the change in disclosed value. Contributions may exceed 100% or run in the opposite direction.

Entity typeCurrentPreviousContribution
Bank₹69.5 L₹0114%
Co-operative bank₹38 L₹59 L-34.4%
NBFC₹42.48 L₹30 L20.5%

Entity Coverage

Declared
34
Names extracted
33
Canonical links
33
First seen
14

Entity counts are breadth indicators, not action counts. One bulk order can name hundreds of companies.

Some source records declare entities but contain no extracted names.

Orders Still in Force

Orders
42
Entities
39
Expiring next
4
Duplicate entity rows
3

Next expiry window: 1 Mar 2023–31 Mar 2023.