Case Brief
What Happened
By an order dated October 03, 2024, RBI imposed a monetary penalty of ₹2.75 lakh on Jilla Sahakari Kendriya Bank Maryadit, Bhind, Madhya Pradesh. The penalty was imposed after a statutory inspection by NABARD and subsequent supervisory proceedings found contraventions of section 26A read with section 56 of the Banking Regulation Act, 1949, and non-compliance with RBI directions on membership of Credit Information Companies by co-operative banks. RBI sustained charges that the bank failed to transfer eligible unclaimed deposit amounts to the Depositor Education and Awareness Fund within the prescribed period and failed to submit credit information of its borrowers to any of the four CICs. The action is a standalone monetary penalty and does not itself impose a business restriction.