Case Brief
RBI, by order dated October 14, 2025, imposed a monetary penalty of ₹8 lakh on Latur District Central Co-operative Bank Ltd., Maharashtra. The penalty followed NABARD’s statutory inspection with reference to the bank’s financial position as on March 31, 2024, and was imposed after a show-cause process and consideration of the bank’s reply and oral submissions. RBI found that the bank had sanctioned and renewed certain director-related loans and had failed to upload certain customers’ KYC records to CKYCR within the prescribed timeline, amounting to contravention of Section 20 read with Section 56 of the Banking Regulation Act, 1949 and non-compliance with RBI KYC directions.
Action Snapshot
- Primary Impact
- Fine: Rs 8.00 L
- Entity Type
- Co-operative bank
- Location
- Latur, Maharashtra