![[Toyota Times] Century as a Brand, Lexus as Innovation: All the Details on Toyota's New Project!](https://businessfortnight.com/wp-content/uploads/2025/10/Toyota-Times-Century-as-a-Brand-Lexus-as-Innovation-All-218x150.jpg "[Toyota Times] Century as a Brand, Lexus as Innovation: All the Details on Toyota's New Project!")
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The Reserve Bank of India (RBI) has imposed, by an order dated September 22, 2022, a financial penalty of ₹5.00 lakh (Rupees Five lakh solely) on The Andaman & Nicobar State Co-operative Bank Ltd. (the financial institution) for contravention of/non-compliance with the provisions of Section 20 learn with Section 56 of BR Act, 1949 (AACS). This penalty has been imposed in train of powers vested in RBI underneath the provisions of Section 47 A (1) (c) learn with Section 46 (4) (i) and Section 56 of the Banking Regulation Act, 1949, bearing in mind the failure of the financial institution to stick to the aforesaid instructions issued by RBI. This motion is predicated on deficiencies in regulatory compliance and isn’t supposed to pronounce upon the validity of any transaction or settlement entered into by the financial institution with its clients. Background The inspection report of the financial institution based mostly on its monetary place as on March 31, 2019, revealed, inter alia, violation/non-compliance with the provisions of Section 20 learn with Section 56 of the BR Act, 1949 (AACS) because the financial institution sanctioned unsecured loans to its administrators. Based on the identical, a Notice was issued to the financial institution advising it to point out trigger as to why penalty shouldn’t be imposed for non-compliance with the instructions. After contemplating the financial institution’s reply and extra submissions made by it, RBI got here to the conclusion that the aforementioned expenses of non-compliance with RBI instructions have been substantiated and warranted imposition of financial penalty. (Yogesh Dayal) Press Release: 2022-2023/937 |
