The Reserve Bank has imposed a monetary penalty of Rs 1 lakh each on two cooperative lenders — Randheja Commercial Cooperative Bank and Gandevi People”s Cooperative Bank –– for violation of banking norms.

The Gandhinagar-based Randheja Commercial Co-operative Bank has been penalised for violation of the RBI instructions on implementation of Know Your Customer (KYC) guidelines and donations exceeding the prescribed ceiling, the apex bank said in a statement.

Meanwhile, Gandevi People”s Cooperative Bank, Navsari, was found to have not adhered to RBI instructions on reporting of cash transactions above Rs 10 lakh as required under Anti-Money Laundering (AML) guidelines.

The RBI had issued showcause notices to both the lenders and the decision to penalise them was arrived at after going through their responses. The RBI found that violations took place, warranting the imposition of penalty.

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