Case Brief
The Reserve Bank of India imposed a monetary penalty on The Jalgaon District Central Co-operative Bank Ltd., Jalgaon (Maharashtra) for contravention of RBI’s Know Your Customer directions. The inspection, based on the bank’s financial position as on March 31, 2021, found that the bank had not carried out customer risk categorization. After a show-cause process and consideration of the bank’s replies and oral submissions, RBI concluded that the breach was substantiated and warranted penalty under the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 1.50 L
- Entity Type
- Co-operative bank
- Location
- Jalgaon, Maharashtra
- Order Date