The Reserve Bank of India (RBI) has imposed a Rs 50,000 monetary penalty on Jalna District Central Co-operative Bank Ltd., Maharashtra, for non-compliance with regulatory directions related to Credit Information Companies (CICs) membership and Know Your Customer (KYC) norms.

The penalty was imposed through an order dated August 25, 2026, following a statutory inspection conducted by the National Bank for Agriculture and Rural Development (NABARD) with reference to the bank’s financial position as of March 31, 2025.

The RBI found that the bank had failed to report borrowers’ credit information to all Credit Information Companies and had not conducted periodic reviews of the risk categorisation of accounts at least once every six months.

The action follows a show-cause notice issued to the bank and consideration of its written, additional and oral submissions during a personal hearing.

The RBI clarified that the penalty relates to regulatory compliance deficiencies and should not be construed as a ruling on the validity of any transactions or agreements between the bank and its customers. The penalty is also without prejudice to any other action that may be taken by the RBI.