Case Brief
RBI imposed a monetary penalty on The Aska Co-operative Central Bank Ltd., Aska for non-compliance with certain provisions of the RBI (Know Your Customer (KYC)) Direction, 2016. Following NABARD's inspection as of March 31, 2022, RBI found that the bank had not put in place a system for periodic review of risk categorisation of accounts. After issuing a show-cause notice and considering the bank's submissions and personal hearing, RBI held the charge substantiated and levied a penalty of Rs 50,000 under the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 50,000
- Entity Type
- Co-operative bank
- Location
- Aska
- Order Date