Case Brief
What Happened
RBI imposed a monetary penalty of ₹5.50 lakh on The Rohika Central Co-operative Bank Limited, Bihar after a statutory inspection conducted by NABARD with reference to the bank's financial position as on March 31, 2024. RBI concluded that the bank had contravened Section 9 read with Section 56 of the Banking Regulation Act, 1949 and failed to comply with directions on 'Membership of Credit Information Companies (CICs) by Co-operative Banks' and 'Know Your Customer (KYC)'. The sustained lapses included failure to dispose of certain non-banking assets within the prescribed time, failure to submit customer credit information to all four CICs, and failure to upload KYC records to CKYCR within the timeline. The penalty was imposed under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act and Section 25 read with Section 23 of the Credit Information Companies (Regulation) Act, 2005.