Section 100
Punishment For Violation Of Bank’s Regulation
(1) In case any commercial bank or financial institution licensed from the Bank, violates an order or directive issued by the Bank under this Act or under the regulation or bye-laws framed thereunder, the Bank may impose one or more of the following punishment to such commercial bank or financial institution:-
(a) Giving reprimand or written warning;
(b) Obtain an undertaking from Board of Directors for adopting reformative measures;
(c) Issuing written order to end up frequent violations, to abstain from such violation and to adopt reformative measures;
(d) Suspend or terminate the services of the Bank’s employee;
(e) Prohibit commercial bank or financial institution to distribute dividend to its shareholders;
(f) Prohibit commercial bank or financial institution to accept deposits or to grant loan and advance;
(g) Imposing full or partial restriction on the transaction of business of the commercial bank or financial institution;
(h) Suspend or revoke license of the commercial bank or financial institution.
(2) Where a Director or official or employee of a licensed commercial bank or financial institution violates an order or directive issued by the Bank under this Act or under the regulation or bye-law framed thereunder or in cases where, they have acted against the interest of the depositor or general public or where they failed to submit the documents, particulars, data required by the Bank or the inspecting or supervising official within the time prescribed, the Bank may impose the
following punishments to such Director, official or employee:-
(a) Giving reprimand or written admonition;
(b) Suspending;
(c) Imposing a cash fine not exceeding five hundred thousand rupees;
(d) Giving order to the Board of Directors of concerned commercial bank or financial institution to stop payment of all benefits including remuneration and
allowances;
(e) Giving order to the Board of Directors of the concerned commercial bank or financial institution to remove Directors from his office of Director or to terminate the services of officer or employee.
(a) Giving reprimand or written warning;
(b) Obtain an undertaking from Board of Directors for adopting reformative measures;
(c) Issuing written order to end up frequent violations, to abstain from such violation and to adopt reformative measures;
(d) Suspend or terminate the services of the Bank’s employee;
(e) Prohibit commercial bank or financial institution to distribute dividend to its shareholders;
(f) Prohibit commercial bank or financial institution to accept deposits or to grant loan and advance;
(g) Imposing full or partial restriction on the transaction of business of the commercial bank or financial institution;
(h) Suspend or revoke license of the commercial bank or financial institution.
(2) Where a Director or official or employee of a licensed commercial bank or financial institution violates an order or directive issued by the Bank under this Act or under the regulation or bye-law framed thereunder or in cases where, they have acted against the interest of the depositor or general public or where they failed to submit the documents, particulars, data required by the Bank or the inspecting or supervising official within the time prescribed, the Bank may impose the
following punishments to such Director, official or employee:-
(a) Giving reprimand or written admonition;
(b) Suspending;
(c) Imposing a cash fine not exceeding five hundred thousand rupees;
(d) Giving order to the Board of Directors of concerned commercial bank or financial institution to stop payment of all benefits including remuneration and
allowances;
(e) Giving order to the Board of Directors of the concerned commercial bank or financial institution to remove Directors from his office of Director or to terminate the services of officer or employee.