Case Brief
What Happened
The Reserve Bank of India imposed a monetary penalty of ₹1.00 lakh on Jila Sahakari Kendriya Bank Maryadit, Chhatarpur, Madhya Pradesh, by order dated September 15, 2021. RBI said the bank had contravened / not complied with its Know Your Customer (KYC) directions, based on deficiencies noted in the inspection report for the bank's financial position as on March 31, 2019. After issuing a show-cause notice and considering the bank's reply, RBI concluded that the violation was substantiated and warranted the penalty under the Banking Regulation Act, 1949.