The Dharmapuri District Central Co-operative Bank Ltd., Tamil Nadu

RBI imposed a monetary penalty of Rs 1 lakh on The Dharmapuri District Central Co-operative Bank Ltd., Tamil Nadu. The bank was found to have sanctioned loans to its directors in contravention of the Banking Regulation Act.

The bank must absorb the penalty and remain exposed to any further action RBI may initiate on the same findings. There is no stated operational restriction on depositors or borrowers from this release, but the compliance lapse may lead to additional supervisory consequences.

• Section 20 read with Section 56 of the Banking Regulation Act, 1949 (BR Act)
• Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the BR Act

RBI imposed a Rs. 5 lakh penalty on Dharmapuri District Central Co-operative Bank Ltd., Tamil Nadu. The penalty was for non-compliance with KYC and AML requirements.

The bank must absorb the monetary penalty and address the compliance lapses identified by RBI. The action has no stated restriction on operations, but it signals regulatory scrutiny over the bank's KYC/AML controls and may require strengthened compliance processes going forward.

• Section 47(A) read with Section 46 of the Banking Regulation Act, 1949