RBI penalises two Gujarat-based cooperative banks

MUMBAI: The Reserve Bank has imposed a penalty of up to Rs 1 lakh each on two Gujarat-based cooperative sector lenders -- Dahod Urban Co-operative Bank Limited and Pragati Sahakari Bank Limited -- for violation of its guidelines.

In case of Dagod Urban Co-operative Bank, the RBI has imposed the fine for giving donations beyond the permissible limit. It was also found violating the Know Your Customer (KYC) and Anti-Money Laundering guidelines.

In case of the Pragati Sahakari Bank Limited, the RBI imposed the fine on the cooperative bank for violation of cash transactions reporting norms.

Source: EconomicTimes