The Pioneer Urban Co-operative Bank Ltd., Belgaum, Karnataka – Penalised
July 15th,20011 was the turn of The Pioneer Urban Co-operative Bank Ltd, Belaguam to be penalized by Reserve Bank of India.
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The monetary penalty is of Rs5.00lacs (Rupees five lakh only).
The penalty was deemed to be necessary, for violating the Reserve Bank’s instructions for sanctioning loan to a company in which a director of the Bank is interested.
The Co-operative Bank also suppressed the information by not reporting it in the relevant quarterly statement proforma I & II submitted to the Reserve Bank of India.
The Standard Operating Procedures Were followed here i.e
a) Issuance of Show Case Notice by the RBI to the co-operative bank.
b) Analyzing the co-operative bank’s written reply and personal submissions.
The Pioneer Urban Co-op Bank has three branches, situated in Belgaum District, Karnataka. One of the three branches is located in the Belgaum Market Yard, which also contains a Ganesh Temple.
One of the famous landmarks of Belgaum are the 108 Jain Temples in the premises of the present Belgaum Fort.
Belagaum is also prominent for “Kunda” (especially Purohit Kunda), and “Kalakand“. A special sweet called “Mandige” or “Maande” is a must during weddings.
Kunda is chiefly prepared by Rajasthani families. These families migrated to Belgaum over six decades ago and are normally called Purohits. Hence the name Purohit Kunda.
Kunda is mainly prepared from Milk and Khowa.