penalty on walchandnagar bank

RBI has vide its press release dated 8th March, 2021 levied a monetary of Rs.5000/- Walchandnagar Sahakari Bank Limited, Pune, for contravention of the provisions of the Credit Information Companies (Regulation) Act, 2005 (CIC Act) and RBI directions on membership of Credit Information Companies by Co-operative Banks. 

The inspection report of the bank based on its financial position as on March 31, 2019, revealed that the bank had failed to obtain membership of any of the four credit information companies. 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 non-compliance with the provisions of the CIC Act and RBI directions.

After considering the facts of the case, RBI came to the conclusion that the aforesaid charge of non-compliance with the provisions of CIC Act and RBI directions was substantiated and warranted imposition of monetary penalty.

https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=51238

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