India, Oct. 16 -- The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 5.50 lakh on The Ghatal Peoples Co-operative Bank Limited, West Bengal, for non-compliance with Know Your Customer (KYC) guidelines.
The penalty, issued on September 26, 2025, was levied under provisions of the Banking Regulation Act, 1949, following findings from the bank's inspection as of March 31, 2024.
RBI noted that the bank failed to conduct periodic reviews of customer risk categorisation—required at least once every six months—and did not upload KYC records to the Central KYC Records Registry (CKYCR) within the prescribed timeframe.
The central bank clarified that the action is based on regulatory non-compliance and does not affect...