Vadodara: The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹2.00 lakh on Sulaimani Co-operative Bank Ltd., Vadodara, for non-compliance with certain directions issued by it.

The bank had failed to adhere to the prudential interbank (gross) exposure limit, offered fixed deposits for a minimum tenor, which was not as per the prescribed tenor, and opened certain savings deposit accounts in the name of ineligible entities.

The statutory inspection of the bank was conducted by RBI with reference to its financial position as of March 31, 2023. Based on supervisory findings of non-compliance and related correspondence in that regard, a show cause notice was issued to the bank. After considering the bank’s reply to the notice and oral submissions made during the personal hearing, RBI found, inter alia, that the following charges against the bank were sustained, warranting imposition of a monetary penalty. DeshGujarat