RBI imposes monetary penalty on Aryavart Bank, Lucknow

Case Brief

By an order dated March 28, 2025, RBI imposed a monetary penalty on Aryavart Bank, Lucknow under Section 47A(1)(c) read with Sections 46(4)(i) and 51(1) of the Banking Regulation Act, 1949. The penalty followed a statutory inspection by NABARD with reference to the bank’s financial position as on March 31, 2023, a show-cause notice, and consideration of the bank’s reply and oral submissions. RBI sustained the charge that the bank failed to transfer eligible unclaimed amounts to the Depositor Education and Awareness Fund within the prescribed time.