Document title: RBI imposes monetary penalty on Jilla Sahakari Kendriya Bank Maryadit, Shajapur, Madhya Pradesh
Issuing authority: Reserve Bank of India (RBI)
Reference number: Press Release: 2026-2027/765
Date: 27 July 2026
Regulatory and Policy Measures
The RBI issued an order dated 21 July 2026 imposing a monetary penalty of ₹1 lakh on Jilla Sahakari Kendriya Bank Maryadit, Shajapur, Madhya Pradesh, pursuant to section 47A(1)(c) read with sections 46(4)(i) and 56 of the Banking Regulation Act, 1949. The penalty arises from the bank’s failure to transfer eligible unclaimed amounts to the Depositor Education and Awareness Fund within the prescribed period, a contravention of sections 26A and 56 of the Act.
The statutory inspection that formed the basis of the action was conducted by the National Bank for Agriculture and Rural Development (NABARD), referencing the bank’s financial position as of 31 March 2025. Following the inspection, the RBI issued a show‑cause notice, considered the bank’s written reply, additional submissions, and oral arguments presented during a personal hearing before confirming the breach.
The RBI clarified that the monetary penalty is imposed solely for the statutory compliance deficiency and does not prejudice the validity of any transaction or agreement between the bank and its customers, nor does it preclude any further regulatory action that the RBI may deem necessary.
Chief General Manager Brij Raj signed the press release.