Cooperative Banks

Cooperative Banks
A Cooperative Bank is a cooperative society engaged in the business of banking.
The co-operative banks, functioning in one state only are registered under the state laws on co-operative societies.
The co-operative banks operating in more than one state, are registered under the multi-state Co-operative Societies Act. The Banking Regulation Act is applicable to co-operative banks as provided in Section 56 of that Act with certain modifications. For this purpose, a co-operative bank means a state co-operative bank, Central co-operative bank and a primary co-operative bank.
While, the constitution of the bank is governed by the co?operative laws, the business of banking undertaken by them is regulated by the Reserve Bank under the BR Act.
a. If a cooperative bank operates in only one state the state law applies and in case cooperative banks operates in more than one state then the Central Act applies.
b. A cooperative bank means a state cooperative bank, central cooperative bank and a primary cooperative bank.
A cooperative bank shall not grant any loans and advances as under :
a. Loans and advances against its own shares.
b. Unsecured loans or advances to any of its directors
c. Directors interest
d. Unsecured loans and advances in which the Chairman managing agent etc.

Also Like:
🤩 🥳 LS NEW OFFER 🥳 🤩spot_img
🤩 🥳 JAIIB CAIIB CLASSES 🥳 🤩spot_img
Learning Sessions
Btech, JAIIB CAIIB and a tutor. Have taken more than 900+ hours online classes with more than 1,25,000 students
🤩 🥳 JAIIB NEW BATCH START 🥳 🤩spot_img



Clear CAIIB Exam in 15 Days for Sure

Clear CAIIB Exam in 15 Days for Sure   IIBF 2022: IIBF is a national apex body that offers online courses in various banking and finance...

Profit and Loss Appropriation Account

PROFIT AND LOSS APPROPRIATION ACCOUNT | JAIIB & CAIIB TOPICS   This article discusses Profit And Loss Appropriation Account and JAIIB study material Nov 2022. IIBF...

Basel 3: CCCB – Countercyclical capital Buffer

BASEL 3 CCCB | COUNTERCYCLICAL CAPITAL BUFFER   This article discusses the Basel 3 CCCB and our JAIIB study material Nov 2022. The JAIIB exam is held...

JAIIB Principles and Practices of Banking Study Material Live Class Previous Year Questions Part 12

JAIIB PPB STUDY MATERIAL LIVE CLASS | PREVIOUS YEAR QUESTIONS PART 12   JAIIB exam is one of the premium flagship courses offered by IIBF twice...