RBI Action on Cooperative Banks: Reserve Bank of India has recently taken major action on five cooperative banks. In fact, RBI has imposed a fine of lakhs of rupees (RBI Action) on banks that ignore the rules. Now the question arises whether this fine will affect the customers’ pockets or not. Let us know in detail…..
The Reserve Bank of India keeps an eye on the functioning of all the banks. Many times, RBI takes action on banks and imposes heavy fines for ignoring the rules. Recently, the Central Bank has once again taken action against five cooperative banks and imposed a fine of lakhs on them.
According to a report, the banks on which action has been taken include The Kutch Mercantile Co-operative Bank in Gujarat, The Thane District Central Co-operative Bank in Thane, Maharashtra, Bhabar Vibhag Nagrik Co-operative Bank, Progressive Mercantile Co-operative Bank and Shree. Morbi Nagrik Sahakari Bank is incorporated.
This much fine imposed on banks
The Reserve Bank of India has imposed a fine of lakhs on all these cooperative banks. This penalty has been imposed on banks for different reasons. According to the information given by the Reserve Bank, while taking this action on The Kutch Mercantile Co-operative Bank, the Central Bank has imposed a penalty of Rs 2 lakh. This action has been taken against the bank for breaking the rules regarding the fixed limit for transferring money from one bank to another and not following the rules while giving loans.
What will be the impact on customers?
While giving information about all these actions, the Reserve Bank of India has said that the objective of the Central Bank is not to interfere in the normal functioning of the banks. These actions have been taken due to banks ignoring the rules. Along with this, this fine is not going to have any impact on the customers. The action will not affect the bank’s operations in any way and customers’ money is completely safe.
