The Reserve Bank of India (RBI) has taken stringent action against The Satara Sahakari Bank Limited, Mumbai, Maharashtra, by imposing a monetary penalty of Rs 2 lakh for non-compliance with certain provisions of the Banking Regulation Act, 1949 (BR Act) and RBI directions on `Prudential Norms on Capital Adequacy - Primary (Urban) Co-operative Banks (UCBs)`.

According to RBI, the penalty, imposed by an order dated April 29, 2024, has been invoked under the powers vested in RBI, conferred under section 47A(1)(c) read with sections 46(4)(i) and 56 of the BR Act. The statutory inspection of the bank, with reference to its financial position as on March 31, 2023, revealed discrepancies in its compliance with RBI directives.