Case Brief
The Reserve Bank of India imposed a monetary penalty on Murshidabad District Central Co-operative Bank Ltd., West Bengal by order dated May 22, 2025. The penalty was levied for non-compliance with RBI directions on KYC and on membership/reporting obligations relating to Credit Information Companies. RBI said the bank failed to carry out periodic review of risk categorisation, did not conduct periodic KYC updation for customers, and did not furnish credit information of borrowers to three CICs. The action was taken under the Banking Regulation Act, 1949 and the Credit Information Companies (Regulation) Act, 2005, after considering the bank’s reply and oral submissions.
Action Snapshot
- Primary Impact
- Fine: Rs 2.10 L
- Entity Type
- Co-operative bank
- Location
- West Bengal