Case Brief
By an order dated June 5, 2026, RBI imposed a monetary penalty of Rs 41.80 lakh on Canara Bank. The penalty was issued under section 47A(1)(c) read with sections 46(4)(i) and 51(1) of the Banking Regulation Act, 1949, after supervisory inspection findings showed non-compliance with RBI directions on Know Your Customer (KYC) and Unclaimed Deposits / Inoperative Accounts in banks. RBI found that the bank did not upload KYC records of certain customers to CKYCR within the prescribed timeline and classified certain accounts as inoperative even though the last customer-induced transaction was less than one year old.
Action Snapshot
- Primary Impact
- Fine: Rs 41.8 L
- Entity Type
- Bank
- Action Type
- Monetary penalty