| Tirumala Co-operative Urban Bank Ltd., Hyderabad, Telangana – Penalised |
The Reserve Bank of India has imposed a monetary penalty of ₹ 2.00 lakh (Rupees Two lakh only) on Tirumala Co-operative Urban Bank Ltd., Hyderabad, Telangana, in exercise of the powers vested in it under the provisions of Section 47A (1) (b) read with Section 46 (4) of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies), for violation of following Reserve Bank of India directives and guidelines on :-
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Loans and advances to directors and their relatives.
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Exposure norms and statutory/other restrictions.
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Donations/Contributions for public/charitable purposes out of profits of UCB’s
The Reserve Bank of India had issued a show-cause notice to the bank, in response to which the bank submitted a written reply. After considering the facts of the case, the bank’s reply in the matter and personal hearing, the Reserve Bank of India came to the conclusion that the violations were substantiated and warranted imposition of penalty.
Ajit Prasad
Assistant Adviser
Press Release : 2017-2018/331 | |