The Reserve Bank of India has, in exercise of powers vested in it under the provisions of Section 47 A (1) (b) read with Section 46 (4) of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies) (hereinafter referred to as ‘the Act’) imposed a monetary penalty of ` 5.00 lakh (Rupees Five lakh only) on the United Commercial Co-operative Bank Limited, Kanpur, Uttar Pradesh (hereinafter referred to as "the bank") for the following violations:

1. Non-submission of Off-Site Surveillance (OSS) returns since April 2012 - Violation of Section 27 of the Act.

2. Non-preparation/ Non-submission/ Non publication of the Balance Sheet, Profit & Loss account and Auditor’s report, for the financial year ended March 31, 2012 – Violation of Section 29 and 31 of the Act, read with Rule 10 of Banking Regulation (Co-operative Societies) Rules, 1966.

The Reserve Bank of India had issued a Show Cause Notice (SCN) to the bank. However, the bank had neither responded to the SCN nor submitted the returns/ audited statements. Accordingly, it was presumed that the bank had nothing to say in the matter and the Reserve Bank of India came to the conclusion that the violations were substantiated and warranted imposition of penalty.

Sucheta Vazkar
Manager

Press Release : 2013-2014/682