NS reserve Bank of India Said that the statutory inspection of the bank revealed that it had not complied with the instructions NPA Classification, payment of interest and imposition of penal charges in savings bank accounts for non-maintenance of minimum balance on deposits lying in current accounts of deceased individual depositors or sole proprietorship entities while settling claims.
The statutory inspection of Apna Sahakari Bank was with reference to its financial position as on 31st March, 2019.
A notice was issued to the lender asking it to show cause why penalty should not be imposed for violation of the above directions.
RBI said the penalty was imposed after considering the bank’s reply to the notice, additional submissions and oral submissions during the personal hearing.
However, RBI said the penalty was imposed due to lack of regulatory compliance and does not intend to pronounce upon the legality of any transaction or agreement The bank entered with its customers.