CSB Bank Limited

RBI has imposed a monetary penalty of ₹63.60 lakh on CSB Bank Limited for non-compliance with directions on business correspondents and customer service.

CSB Bank must absorb the penalty and address the compliance gaps identified by RBI. Going forward, it needs to ensure business correspondents act only within the permitted scope and that any customer charges are transparently disclosed in advance to affected account holders.

• section 47A(1)(c) read with section 46(4)(i) of the Banking Regulation Act, 1949

RBI has imposed a monetary penalty of Rs 1.868 crore on CSB Bank Ltd. for regulatory non-compliance. The case involves contravention of the BR Act and breaches of RBI directions on outsourcing and branch authorisation.

CSB Bank must absorb the monetary penalty and ensure future compliance with RBI directions on outsourcing and branch authorisation, as well as related BR Act requirements. The order itself does not suspend operations, but it signals supervisory concerns and leaves room for further RBI action if issues persist.

• section 10(1)(b)(ii) of the BR Act
• section 47A(1)(c) read with section 46(4)(i) of the Banking Regulation Act, 1949