The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs. 25 lakh (Rupees Twenty Five Lakh only) on The Mehsana Urban Co-operative Bank Limited, Gujarat for non-compliance with certain directions issued by RBI on ‘Income Recognition, Asset Classification, Provisioning and Other Related Matters - UCBs’. The Mehsana Urban Co-operative Bank did not classify credit facilities of certain borrowers as non-performing assets (NPAs) hence the RBI has imposed a penalty of ₹25 lakh on the bank.
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| RBI Imposes Rs 25 lakh Penalty on The Mehsana Urban Co-operative Bank |
RBI Imposes ₹25 lakh Penalty on The Mehsana Urban Co-operative Bank
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹25 lakh on The Mehsana Urban Co-operative Bank Limited, Gujarat for non-compliance with certain directions issued by RBI on ‘Income Recognition, Asset Classification, Provisioning and Other Related Matters - UCBs’.
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This penalty has been imposed in exercise of powers conferred on RBI under the provisions of Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
Apart from this, the Reserve Bank of India (RBI) has imposed a monetary penalty of Rs. 1 lakh (Rupees One Lakh only) on Parner Taluka Sainik Sahakari Bank Limited Parner, Maharashtra.
RBI Imposes penalty on The Mehsana Urban Co-operative Bank: Background
The statutory inspection of the bank was conducted by RBI with reference to its financial position as on March 31, 2024.
RBI found that the following charge against the bank was sustained, warranting imposition of monetary penalty:
- The bank did not classify credit facilities of certain borrowers as non-performing assets (NPAs).
This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers. Further, imposition of this monetary penalty is without prejudice to any other action that may be initiated by RBI against the bank.
About The Mehsana Urban Co-Operative Bank
The Mehsana Urban Co-Operative Bank was established on October 23, 1983, and is registered under the Multi-State Co-operative Societies Act, 2002.
The Bank started with one branch at Mehsana with Share Capital of Rs. 15.00 lacs, made continuous Progress as on 31st March 2020 paid up share capital is Rs. 304.65 Crores.
The Mehsana Urban Co-Operative Bank was given status of Scheduled Bank by Reserve Bank of India in the year 2000.
Customer Service of The Mehsana Urban Co-Operative Bank
At present The Mehsana Urban Co-Operative Bank is providing better customer service through its core banking solution Available at All 58 Branches. Branches at various centers in the state of Gujarat and Maharashtra.
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The bank also offers UPI (24x7 fund transfer), Internet Banking (RTGS, NEFT 24x7, IMPS 24x7), WhatsApp Banking (Balance Inquiry, Mini-statement, Rate of Interest) service.
About Reserve Bank of India (RBI)
The Reserve Bank of India was established on April 1, 1935 according to the provisions of the Reserve Bank of India Act, 1934. The headquarters of the Reserve Bank was initially established in Kolkata but was permanently moved to Mumbai in 1937.
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Initially the bank was privately owned, but since nationalization in 1949 it is fully owned by the Government of India.
Governor of RBI
The current Governor of the Reserve Bank of India is Sanjay Malhotra. He replaced Shaktikanta Das as the governor.
Deputy Governor of RBI
The 4 Deputy Governors are appointed in the Reserve Bank of India (RBI), who are as follows.
- T. Rabi Sankar
- Swaminathan J
- Dr Poonam Gupta
- Shirish Chandra Murmu
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Static Current Affairs related to RBI for upcoming exams
- Establishment: 1 April 1935
- Headquarters: Mumbai, Maharashtra
- Governor: Sanjay Malhotra
- Deputy Governor: Swaminathan J, Shirish Chandra Murmu, T. Rabi Sankar and Poonam Gupta
- Ownership: Ministry of Finance , Government of India
Static Current Affairs related to The Mehsana Urban Co-operative Bank for upcoming exams
- Established: 23rd October 1983
- Chairman: Dahyabhai M. Patel
- Vice Chairman: Anandbhai A. Patel
- Chief Executive Officer: Mahesh Bansal
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