Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹50,000 on The Mumbai Mahanagarpalika Shikshan Vibhag Sahakari Bank Ltd., Mumbai for non-compliance with RBI directions on Know Your Customer (KYC). The action followed a statutory inspection with reference to the bank’s financial position as on March 31, 2024, and a show-cause process. RBI found that the bank had failed to conduct periodic review of the risk categorisation of accounts at least once in six months, in contravention of the applicable directions, and imposed the penalty under the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 50,000
- Entity Type
- Co-operative bank
- Location
- Mumbai, Maharashtra