Mumbai, Oct 14 (PTI) The Reserve Bank of India on Monday said it has imposed a penalty of Rs 28.30 lakh on SG Finserve Limited, formerly known as Moongipa Securities, for non-compliance with specific conditions under which the company received the certificate. Registration (CoR).

The company’s financial statements for FY23 revealed, among other things, non-compliance with specific conditions of the CoR.

“The company accepted public funds and granted loans in violation of the specific conditions of the CoR granted to it,” the RBI said in a statement.

The RBI also imposed a penalty of Rs 14 lakh on Arunachal Pradesh Rural Bank for non-compliance with certain instructions on ‘Strengthening Prudential Norms – Classification of Provisioning Assets and Exposure Limit’ and ‘Know Your Customer’ (KYC).

Besides, sanctions were imposed on three other cooperative banks for violating certain norms.

The banks are Jilla Sahakari Kendriya Bank Maryadit, Bhind, Madhya Pradesh; The Urban Co-operative Bank Ltd, Dharangaon, Maharashtra, and Sri Kalahasti Co-operative Town Bank Ltd, Andhra Pradesh.

In each case, the RBI said the sanctions are based on regulatory compliance failures and are not intended to pronounce on the validity of any transaction or agreement entered into by entities with their customers.