The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹ 7.00 lakh (Rupees Seven Lakh only) on The Citizens Urban Co-operative Bank Ltd., Jalandhar, Punjab.
The penalty is imposed for non-compliance with certain directions issued by RBI contained in the Master Circular DCBR.BPD. (PCB) MC No.12/09.14.000/2015-16 dated July 01, 2015 on ‘Income Recognition, Asset Classification, Provisioning and Other Related Matters – UCBs’.
Read the full press release issued by RBI:
October 26, 2021
RBl imposes monetary penalty on The Citizens Urban Co-operative Bank Ltd., Jalandhar, Punjab
The Reserve Bank of India (RBl) has imposed, by an order dated October 26, 2021, a monetary penalty of ₹7.00 lakh (Rupees Seven Lakh only) on The Citizens Urban Co-operative Bank Ltd., Jalandhar, Punjab (the bank) for non-compliance with certain directions issued by RBI contained in the Master Circular DCBR.BPD. (PCB) MC No.12/09.14.000/2015-16 dated July 01, 2015 on ‘Income Recognition, Asset Classification, Provisioning and Other Related Matters – UCBs’. This penalty has been imposed in exercise of powers vested in RBI under the provisions of Section 47 A (1) (c) read with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, taking into account the failure of the bank to adhere to the aforesaid directions issued by RBI. 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.
Background
The inspection report of the bank based on its financial position as on March 31, 2019, revealed, inter alia, non-adherence with/violation of the aforesaid directions, viz., non-identification of NPAs, wrong classification of assets and inadequate provisions made due to wrong classification of assets. Based on the same, a Notice was issued to the bank advising it to show cause as to why penalty should not be imposed for violation of the said directions. After considering the bank’s reply and oral submissions made during the personal hearing, RBI came to the conclusion that the aforesaid charges of non-adherence with /violation of RBI directions were substantiated and warranted imposition of monetary penalty.
(Yogesh Dayal)
Chief General Manager
Press Release: 2021-2022/1098
Also read other articles @ EduTaxTuber
-
Notification No. 37/2021 Central Tax- Seeks to make amendments to the CGST Rules, 2017
-
Government to introduce a Bill to Regulate Crypto Currency: Private Cryptocurrency to be banned and RBI to issue new crypto
-
New AIS includes additional information relating to interest, dividend, securities transactions, mutual fund transactions, etc.
-
Important Income Tax Due Dates for November 2021
-
Important Income Tax Due Dates for October 2021
-
RBI to Impose Monetary penalty on Banks for Non-Availability of Cash in ATMs
-
How to Download ITR Acknowledgement from New e-filing Portal?
-
ICAI | Extension of the time period for admission in Foundation Course
-
What is e-RUPI? | The New Digital Payment
-
GST Annual Return & Audit (GSTR 9 & GSTR 9C) For FY 2020-21
-
CMA-Extension of time for submission of online Examination Application Form
-
FAQs – Filling of ITR forms for Assessment Year 2021-22
-
FAQs on Covid 19 Vaccination
-
How to Verify the PAN Details Online?
-
How to Download Covid 19 Vaccination Certificate?
-
Circular No. 2 of 2021- Clarification in respect of Residential Status
-
Case Study Digest at the Final level-ICAI
-
CBDT Issues Refunds to Taxpayers between 1.04.2020 to 28.02.2021
-
Post Office Saving Account | Now Maintaining Minimum Balance is Mandatory
-
Shortcut Key in Tally – Tally ERP & TallyPrime
-
Learn How to Create a Company in TallyPrime?
-
How to E-Verify ITR
-
How to Check Income Tax Refund Status -Online
-
How to download ITR form (Java/Excel)?
-
Goods and Service Tax-List of Central Tax Notifications 2020
-
Know All About TDS – Rates, Due Dates, Forms & Challans, etc.
-
What is Form 15G and 15H? ( How to avoid TDS on interest income)
-
NEET MDS Result 2023: Check NEET MDS Result Now
-
How to Find GST Rates: GST Rates for Goods & Services
-
GSTIN Advisory on opting for payment of tax under the forward charge mechanism by GTA
-
Watch Union Budget 2023 Live: Income Tax | GST
-
Union Budget 2023-24: Time and Schedule
-
Union Budget 2023 Expectations for Salaried Individual
-
Section 192 TDS on Salary
-
How to Change or Reset EPF UAN Login Password: Step by Step Guide
-
UPI Transaction Limit: What is UPI? UPI FAQs
-
What is ChatGPT: History of ChatGPT