India, Sept. 5 -- The Reserve Bank of India (RBI), through an order dated September 1, 2025, has imposed a monetary penalty of Rs 2.02 lakh on The Pataliputra Central Co-operative Bank Ltd., Bihar, for non-compliance with directions on Know Your Customer (KYC) norms and Membership of Credit Information Companies (CICs) by Co-operative Banks.
The action followed a NABARD inspection of the bank's financials as of March 31, 2024. Based on supervisory findings and subsequent proceedings, RBI concluded that the bank had failed to:
conduct periodic reviews of risk categorisation of accounts at least once every six months, and
submit customer credit information to three credit information companies.
RBI clarified that the penalty is due to reg...