Case Brief
The Reserve Bank of India imposed a monetary penalty on Khatra People’s Co-operative Bank Ltd., Khatra, West Bengal, by order dated June 30, 2023. RBI found that the bank had failed to comply with the KYC Directions applicable to urban co-operative banks, specifically by not carrying out periodic review of the risk categorisation of its accounts. The penalty was imposed under Section 47A(1)(c) read with Section 46(4)(i) and Section 56 of the Banking Regulation Act, 1949, after issuance of a show-cause notice and consideration of the bank’s reply.
Action Snapshot
- Primary Impact
- Fine: Rs 5,000
- Entity Type
- Co-operative bank
- Location
- Khatra, West Bengal
- Order Date