RBI imposes monetary penalty on five entities for violating rules

The Reserve Bank of India (RBI) on August 24 said it has imposed monetary penalties on four cooperative bank and a non-banking financial company (NBFC) for violating rules.

The central bank imposed a penalty of Rs 30.50 lakh and Rs 2 lakh on Midnapore People’s Co-operative Bank and Paul Merchants Finance Private Limited, respectively.

It also imposed a penalty of Rs 2 lakh and Rs 1 lakh on Ratnagiri Urban Co-operative Bank and Municipal Co-operative Bank Ltd, respectively. RBI also imposed a penalty of Rs 1 lakh on Kolhapur Urban Co-operative Bank.

The central bank said that the penalties were due to deficiencies in regulatory compliance by the banks.