Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 1,00,000 on The Progressive Mercantile Co-operative Bank Ltd., Ahmedabad under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies). RBI said the bank violated instructions on Know Your Customer (KYC) / Anti Money Laundering (AML) norms. After issuing a show-cause notice and considering the bank's written reply, RBI concluded that the violation was substantiated and that a penalty was warranted.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- Co-operative bank
- Location
- Ahmedabad, Gujarat
- Order Date