Relevant Extracted Data –

  • Monetary penalty of ₹2 lakh imposed on The Lunawada People's Co-operative Bank Ltd.
  • Penalty order dated May 22, 2026, under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
  • Non‑compliance identified: bank sanctioned loans with directors' relatives as guarantors.
  • Statutory inspection covered the bank’s financial position as of 31 March 2025; notice issued and show‑cause hearing conducted.
  • RBI’s action is without prejudice to any further regulatory measures.
  • Press Release reference: 2026‑2027/338, signed by Chief General Manager Brij Raj.