Mumbai, Feb. 27 -- The Reserve Bank of India (RBI) on Thursday imposed a monetary penalty of Rs 33.30 lakh on Bombay Mercantile Co-operative Bank Ltd., Mumbai for contravention of the provisions and earning income from business not permissible under the Banking Regulation Act.
The statutory inspection of the bank was conducted by RBI with reference to its financial position as on March 31, 2023. Based on supervisory findings of contravention of statutory provisions and related correspondence in that regard, a notice was issued to the bank advising it to show cause as to why penalty should not be imposed on it for its failure to comply with the said provisions.
After considering the bank's reply to the notice and oral submissions made duri...