Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹5.00 lakh on The Junagadh Commercial Co-operative Bank Ltd., Junagadh (Gujarat). The penalty was imposed under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (as applicable to co-operative societies), after an inspection for the bank’s financial position as on March 31, 2013 found violations of RBI directives/guidelines on KYC norms, AML measures, CFT, and obligations under the Prevention of Money Laundering Act, 2002. RBI had issued a show-cause notice, considered the bank’s written reply and personal submissions, and concluded that the violations were substantiated.
Action Snapshot
- Primary Impact
- Fine: Rs 5.00 L
- Entity Type
- Co-operative bank
- Location
- Junagadh, Gujarat