The Reserve Bank of India (RBI) on Thursday said it has launched the cooperative sector cooperative Rabobank UA. But for the loopholes in regulatory compliance, a fine of Rs 1 crore has been imposed. The penalties were imposed for violations of certain provisions of the Banking Regulation Act, 1949 and ‘transfer of reserve funds’, the RBI said in a statement. A few days ago, RBI sold Nasik’s Janalakshmi Co-operative Bank for Rs. 50.35 lakh in fines. At the same time, Axis Bank has a net profit of Rs 5 crore.
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The central bank said it had conducted a supervisory assessment statutory test (ISE) on the bank’s financial position as of March 31, 2020, which violated the Banking Regulation Act and the Directives issued by the Company. RBI has issued a showcase notice to the bank.
Based on the bank’s response to the notice and in response to the individual inquiries and additional information provided by the bank, the bank said in a statement that the infringement of RBI rules and monetary penalties was concluded.
They have also been fined
In another statement, the Reserve Bank said that Kolkata-based village financial services have been fined Rs 5 lakhs for not following certain rules of ‘knowing your customers’ rules. The Central Bank said it has imposed a fine of Rs 13 lakh on the Ahmednagar Merchant Co-operative Bank and Rs 2 lakh on the women’s Vikas Co-operative Bank in Ahmedabad.
