**Summary:**
On August 28, 2025, the Reserve Bank of India (RBI) imposed a monetary penalty of ₹18.30 lakh on The Surat Peoples Cooperative Bank Limited, Surat, for non-compliance with RBI directions regarding the reporting of large exposures to the Central Repository of Information on Large Credits (CRILC) for Urban Co-operative Banks (UCBs). This penalty was levied under the powers granted to the RBI by Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
The statutory inspection of the bank, conducted with reference to its financial position as of March 31, 2024, revealed the non-compliance. Specifically, the bank failed to report credit information pertaining to certain borrowers to CRILC within the stipulated timeframe. The RBI issued a notice to the bank, and after considering the bank's response and submissions, determined that the charge was sustained, warranting the monetary penalty.
The RBI clarified that this action is based on deficiencies in regulatory compliance and does not reflect on the validity of any transactions or agreements between the bank and its customers. Furthermore, the imposition of this penalty does not preclude the RBI from initiating any other actions against the bank.
For further information, contact the Department of Communication, Central Office, Reserve Bank of India, Shahid Bhagat Singh Marg, Fort, Mumbai – 400 001, or email helpdoc@rbi.org.in. The phone number is 022-2266 0502. The press release number is 2025-2026/1018.
Key Entities Referenced
Reserve Bank of India: The central bank of India, also referred to as RBI.
The Surat Peoples Cooperative Bank Limited, Surat: A cooperative bank located in Surat, Gujarat, which was penalized by the RBI.
Banking Regulation Act, 1949: An act of parliament in India to regulate the banking companies in India.
Central Repository of Information on Large Credits (CRILC): A system for reporting large exposures by banks, managed by the RBI.
Section 47A(1)(c): Section of the Banking Regulation Act, 1949 that empowers RBI to impose penalties.
Section 46(4)(i): Section of the Banking Regulation Act, 1949 related to penalties.
Section 56: Section of the Banking Regulation Act, 1949 related to cooperative banks.
Puneet Pancholy: Chief General Manager at the Reserve Bank of India.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व ब ैंक
RESERVE BANK OF INDIA
वेबसाइट : www.rbi.org.in/hindi संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
September 01, 2025
RBI imposes monetary penalty on The Surat People’s Co-operative Bank
Limited, Surat
The Reserve Bank of India (RBI) has, by an order dated August 28, 2025,
imposed a monetary penalty of ₹18.30 lakh (Rupees Eighteen Lakh Thirty Thousand
only) on The Surat People’s Co-operative Bank Limited, Surat (the bank) for non-
compliance with certain directions issued by RBI on ‘Reporting of Large Exposures to
Central Repository of Information on Large Credits (CRILC) - UCBs’. This penalty
has been imposed in exercise of powers conferred on RBI under the provisions of
Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act,
1949.
The statutory inspection of the bank was conducted by RBI with reference to its
financial position as on March 31, 2024. Based on supervisory findings of non-
compliance with RBI directions 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 directions. After considering the
bank’s reply to the notice, additional submissions made by it and oral submissions
made during the personal hearing, RBI found that the following charge against the
bank was sustained, warranting imposition of monetary penalty:
The bank did not report credit information pertaining to certain borrowers to
Central Repository of Information on Large Credits (CRILC) within the prescribed
time.
The action is based on deficiencies in regulatory compliance and is not intended
to pronounce upon the validity of any transaction or agreement entered into by the
bank with its customers. Further, imposition of monetary penalty is without prejudice
to any other action that may be initiated by RBI against the bank.
(Puneet Pancholy)
Press Release: 2025-2026/1018 Chief General Manager