RBI imposes monetary penalty on Saibaba Nagari Sahakari Bank Maryadit,
Sailu, Maharashtra
The Reserve Bank of India (RBl) has, by an order dated June 24, 2025, imposed
a monetary penalty of ₹50,000/- (Rupees Fifty Thousand only) on Saibaba Nagari
Sahakari Bank Maryadit, Sailu, Maharashtra (the bank) for non-compliance with
certain directions issued by RBI on ‘Know Your Customer (KYC)’. This penalty has
been imposed in exercise of powers conferred on RBI under the provisions of Section
47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
The statutory inspection of the bank was conducted by the RBI with reference to
its financial position as on March 31, 2024. Based on supervisory findings of noncompliance with RBI directions and related correspondence in that regard, a notice
was issued to the bank advising it to show cause as to why penalty should not be
imposed on it for its failure to comply with the said directions. After considering the
bank’s reply to the notice, additional submissions made by it and oral submissions
made during the personal hearing, RBI found, inter alia, that the following charges
against the bank were sustained, warranting imposition of monetary penalty:
The bank had failed to:
i) upload the KYC records of certain customers onto Central KYC Records
Registry (CKYCR) within the prescribed time; and
ii) carry out periodic updation of KYC of certain customers as per the prescribed
periodicity.
This action 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
bank with its customers. Further, imposition of this monetary penalty is without
prejudice to any other action that may be initiated by RBI against the bank.
RBI Fines Saibaba Nagari Sahakari Bank for KYC Lapses
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