RBI imposes Rs 5 lakh fine on District Co-op Bank in Andhra

The Reserve Bank of India has imposed a monetary penalty of Rs 5 lakh on the District Cooperative Central Bank Ltd., Mahabubnagar, Andhra Pradesh for non-adherence to Know Your Customers (KYC) norms and Anti Money Laundering (AML) guidelines.

Earlier, the RBI had issued a show cause notice to the bank in response to which the bank had submitted a written reply. However, after considering the facts, RBI penalised the bank with the monetary fine.

RBI also stated, 'After considering the facts of the case, the bank's reply and personal submissions in the matter, the RBI came to the conclusion that the violation was substantiated and
warranted imposition of the penalty.'