Reserve Bank of India has imposed a monetary penalty of Rupees five lakh on the Krishna Mercantile Co-operative Bank, Bhopal.
The UCB was found violating the directives and guidelines of the Reserve Bank on implementation of Know Your Customers (KYC) as well as on Anti Money Laundering (AML) norms.
The Reserve Bank of India had issued a show cause notice to the bank, in response to which the bank submitted a written reply.
After considering the facts of the case and the bank’s reply in the matter, the Reserve Bank came to the conclusion that the violations were substantiated and warranted imposition of the monetary penalty.