RBI penalises BNSBL for violating norms

Ahmedabad, Aug 17: The Reserve Bank of India (RBI) on Tuesday imposed a penalty of Rs 1 lakh on a co-operative bank in Mehsana district of Gujarat for violation of anti money laundering (AML) guidelines and know your customer (KYC) norms.

The RBI has imposed penalty of Rs 1 lakh on Becharji Nagarik Sahakari Bank Limited (BNSBL) in Mehsana district of Gujarat, for violation of central bank's instructions on KYC and AML guidelines, an official statement stated.

The central bank 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 and the bank's reply as also personal submissions in the matter, the RBI concluded that the violations were substantiated and warranted imposition of the penalty, it stated.

PTI