The Karnataka Co-operative Bank Limited, Muddebihal, Karnataka

RBI imposed a ₹1 lakh penalty on The Karnataka Co-operative Bank Limited, Muddebihal, Karnataka. The action was for breaching exposure norms and KYC record-upload requirements.

The bank must absorb the ₹1 lakh penalty; the release does not impose any new business restriction or suspension. The action signals supervisory non-compliance and may expose the bank to further regulatory action, but no immediate operational cap is stated in this release.

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

RBI has imposed a Rs 5 lakh penalty on The Karnataka Co-operative Bank Ltd., Muddebihal, Karnataka. The action follows the bank’s failure to deposit the required amount in SIDBI’s MSE Refinance Fund against its PSL shortfall for FY 2022-23.

The bank must absorb the financial penalty and the action may be followed by any other regulatory steps RBI considers appropriate. The release does not mention any immediate operational restriction, but it underscores continued compliance obligations around PSL targets and related MSE Refinance Fund contributions.

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