The Reserve Bank of India has imposed a monetary penalty of ? 2,00,000/- (? Two lakh only) on National Sahkari Bank Ltd., Gorakhpur, Uttar Pradesh in exercise of powers vested in it.
The UCB was found violating RBI Instructions and Guidelines on Know Your Customer Norms.
The Reserve Bank of India had issued a Show Cause Notice to the bank, in response to which the bank had submitted a written reply.
After considering the facts of the case, the Reserve Bank came to the conclusion that the violations were substantiated and warranted imposition of penalty.