Case Brief
What Happened
The Reserve Bank of India imposed a monetary penalty of Rs 1 lakh on Shri Janata Sahakari Bank Limited, Halol, Dist. Panchmahal under Section 47A(1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (AACS). The penalty was imposed because the bank did not report cash transactions exceeding Rs 10 lakh to FIU-IND, as required under the AML guidelines. RBI had issued a show-cause notice, considered the bank's written reply and personal submissions, and found the violations substantiated.