The Reserve Bank of India (RBI) has imposed a penalty on a non-banking financial company (NBFC) including two co-operative banks for violating regulatory norms.
The Reserve Bank of India (RBI) has imposed a penalty on a non-banking financial company (NBFC) including two co-operative banks for violating regulatory norms. The Reserve Bank said in a statement on Thursday that the Jijamata Mahila Sahakari Bank of Pune in Maharashtra has been fined Rs 3 lakh for violating the statutory rules.
Violation of KYC Instructions
RBI said in a separate statement that Pune-based Muslim Co-operative Bank Ltd. But for violating the instructions issued by RBI regarding Know Your Customer (KYC), a fine of two lakhs has been imposed.
The RBI also said that it has appointed an NBFC, Sheyed Shariat Finance Ltd., for non-compliance with certain provisions of the Know Your Customer Guidelines, 2016. He has also been fined Rs 5 lakh.
Penalty imposed on Dhanalakshmi Bank:
Earlier, RBI has imposed a penalty on two banks. The Reserve Bank has imposed a penalty on Dhanlaxmi Bank for non-compliance with the rules related to ‘Depositor’s Education and Awareness Fund Scheme’. RBI has imposed a fine of Rs 27.5 lakh. Apart from this central bank, a penalty of 20 lakhs has also been imposed on Gorakhpur-based multi-state primary cooperative bank of NE and EC railway employees for violating certain rules. The bank has imposed a total penalty of Rs 47.5 lakh on these two banks.
Will this affect the customers?
RBI said the penalty is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the two lenders with their customer.
