RBI imposed ₹3.50 lakh penalty on two cooperative banks from Haryana and Maharashtra in June 2026 for regulatory non-compliance. This follows a pattern of RBI enforcement actions, including ₹44.90 lakh penalty on Canara Bank and Puran Associates NBFC on June 8, 2026. Cooperative banks face heightened regulatory scrutiny for adherence to RBI directions on operations, governance, and compliance frameworks. These penalties demonstrate RBI's continued focus on strengthening supervisory mechanisms across all banking categories including cooperative sector institutions.

RBI's penalty on cooperative banks reflects its supervisory role under the Banking Regulation Act, 1949, which extends regulatory oversight to cooperative banks alongside commercial banks. Cooperative banks, despite their cooperative structure, must comply with RBI's prudential norms on capital adequacy, asset classification, provisioning, and governance standards. The ₹3.50 lakh penalty, though modest compared to commercial bank penalties, signals RBI's uniform enforcement approach across banking categories. This action is part of RBI's broader supervisory framework strengthening post-2020 amendments to Banking Regulation Act, which brought cooperative banks under direct RBI supervision. The timing alongside penalties on Canara Bank (₹44.90 lakh) and NBFC Puran Associates indicates systematic compliance reviews across banking ecosystem. For cooperative banks serving rural and semi-urban areas, regulatory compliance ensures depositor protection and financial stability. These penalties typically result from violations in loan classification, reporting requirements, or governance lapses rather than systemic risks, but demonstrate RBI's commitment to uniform regulatory standards regardless of institutional size or structure.