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RBI cancelled Sumerpur Mercantile’s licence over capital and eligibility failures

8th busiestof 140 comparable periods· top 6%

45 RBI action records published between 1 February 2024 and 29 February 2024: 32 fresh actions, 12 extensions of existing orders, 1 restriction lifted and 28 monetary-penalty actions with an amount stated, totalling ₹5.20 crore. That is 45 records against 38 over the same 29 days of January 2024, and ₹5.20 crore of disclosed penalty value against ₹3.74 crore.

Period complete. 29 days covered.

Action records
45

38 in January 2024

Disclosed penalties
₹5.2 cr

₹3.74 cr in January 2024

Severe actions · S4–S5
19

16 · 42.1% previously

Orders in force
41

18 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 Feb4400
2 Feb1010
3 Feb0000
4 Feb0000
5 Feb0000
6 Feb3012
7 Feb0000
8 Feb4121
9 Feb2002
10 Feb0000
11 Feb0000
12 Feb4310
13 Feb0000
14 Feb0000
15 Feb0000
16 Feb4004
17 Feb0000
18 Feb0000
19 Feb0000
20 Feb1001
21 Feb0000
22 Feb6411
23 Feb2002
24 Feb0000
25 Feb0000
26 Feb6123
27 Feb0000
28 Feb1001
29 Feb7142

What Stood Out

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

01

Co-operative banks made up half of the penalty-value increase

The disclosed penalty total rose by ₹1.46 crore, from ₹3.74 crore to ₹5.20 crore. Co-operative banks accounted for 50.8% of that increase, banks for 33.0% and NBFCs for 16.3%.

02

A small group of penalties dominated disclosed value

The largest disclosed penalty was ₹2.00 crore, equal to 38.5% of the ₹5.20 crore total. The top five actions accounted for 77.9%, while the median penalty was ₹3.8 lakh.

03

Severe actions held their share as cancellations increased

There were 19 severe actions, or 42.2% of the total, compared with 16 and 42.1% in January 2024. Cancellations numbered 4, against 2 in January 2024.

04

Eighteen existing orders were due to expire in March 2024

The period ended with 41 orders in force covering 41 entities, including 18 orders expiring in March 2024. M/s Haribhakti & Co. LLP, Chartered Accountants had run for 23 months until 31 March 2024, while Ajantha Urban Co-operative Bank Maryadit, Aurangabad and Purvanchal Co-operative Bank Limited, Ghazipur had each run for 6 months until 29 February 2024.

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 penalty28 · 62.2%

    Previous 24 · 63.2%

  2. Business restriction12 · 26.7%

    Previous 12 · 31.6%

  3. Licence cancellation4 · 8.9%

    Previous 2 · 5.3%

  4. Action lifted1 · 2.2%

Lifecycle

Fresh actions, extensions and withdrawals.

  1. Fresh action32 · 71.1%

    Previous 27 · 71.1%

  2. Extension12 · 26.7%

    Previous 11 · 28.9%

  3. Lifted / withdrawn1 · 2.2%

Entity types

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

  1. Co-operative bank35 · 77.8%

    Previous 33 · 86.8%

  2. NBFC5 · 11.1%

    Previous 1 · 2.6%

  3. Bank4 · 8.9%

    Previous 3 · 7.9%

  4. Payment entity1 · 2.2%

    Previous 1 · 2.6%

Why RBI acted

Overlapping themes; one action may carry several reasons.

  1. Reporting & disclosure21 · 46.7%

    Previous 16 · 42.1%

  2. Capital & exposure norms13 · 28.9%

    Previous 14 · 36.8%

  3. Lending norms11 · 24.4%

    Previous 8 · 21.1%

  4. Other11 · 24.4%

    Previous 10 · 26.3%

  5. Governance & oversight9 · 20%

    Previous 8 · 21.1%

  6. Customer protection7 · 15.6%

    Previous 10 · 26.3%

Defining Actions

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

  1. RBI imposes monetary penalty on State Bank of India

    Largest disclosed penaltyS4 High
    26 Feb 2024₹2.00 croremonetary penalty

    State Bank of India

    State Bank of India was penalized for holding shares as pledgee in excess of the statutory limit and for failing to credit eligible amounts to the Depositor Education and Awareness Fund within the prescribed time.

    Read case briefRBI source

  3. RBI cancels the licence of Sumerpur Mercantile Urban Cooperative Bank Limited, Sumerpur, Pali, Rajasthan

    Highest severity, single entityS5 Severe
    28 Feb 2024licence cancellation

    Sumerpur Mercantile Urban Cooperative Bank Limited, Sumerpur, Pali, Rajasthan

    Sumerpur Mercantile Urban Cooperative Bank Limited, Sumerpur, Pali, Rajasthan lacked adequate capital and earning prospects and failed multiple eligibility requirements under Sections 11(1) and 22(3) read with Section 56 of the Banking Regulation Act, 1949. RBI said its continuance was prejudicial to depositors and public interest.

    Read case briefRBI source

What It Cost

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

Median
₹3.75 L

Previous ₹4 L

Largest
₹2 cr

Previous ₹1.2 cr

Top five
₹4.05 cr

Previous ₹3.15 cr

95th percentile
₹66 L

Previous ₹1 cr

Change by entity type

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

Entity typeCurrentPreviousContribution
Co-operative bank₹1.92 cr₹1.18 cr50.8%
Bank₹2.98 cr₹2.5 cr33%
NBFC₹29.8 L₹6 L16.3%

Entity Coverage

Declared
56
Names extracted
59
Canonical links
59
First seen
14

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

Orders Still in Force

Orders
41
Entities
41
Expiring next
18
Duplicate entity rows
0

Next expiry window: 1 Mar 2024–31 Mar 2024.