RBI imposes penalty on Kolhapur bank for violating KYC norms

The Reserve Bank today imposed a penalty Rs 5 lakh on Kolhapur District Central Co-operative Bank for violation of guidelines related to Know Your Customers (KYC) norms and Anti Money Laundering standards.

“The RBI has imposed a monetary penalty of Rs 5 lakh on Kolhapur District Central Co-operative Bank …for violating guidelines issued by the Reserve Bank on Know Your Customers (KYC) norms/Anti Money Laundering (AML) standards”,RBI said in a statement.

The apex bank said it had issued a show cause notice to the bank,and came to the conclusion that the violations were substantiated and warranted imposition of the penalty.