Case Brief
By an order dated November 20, 2024, RBI imposed a monetary penalty of ₹2.10 lakh on The Lunawada Nagrik Sahakari Bank Limited, Lunawada, Gujarat. The penalty was imposed after RBI found sustained charges of non-compliance with directions on membership of credit information companies by co-operative banks, area of operation/branch authorisation and opening or shifting of offices, and KYC requirements. Specifically, the bank had failed to submit credit information of its borrowers to three CICs, opened an on-site ATM without prior RBI approval, and failed to carry out risk-based updation of KYC and review of risk categorisation of accounts at the prescribed intervals.
Action Snapshot
- Primary Impact
- Fine: Rs 2.10 L
- Entity Type
- Co-operative bank
- Location
- Lunawada, Gujarat