RBI penalises Vijay Co-op Bank, Ahmedabad

MUMBAI, Oct 30: The Reserve Bank of India (RBI) has imposed apenalty of Rs 5 lakh on The Vijay Co-operative Bank Ltd., Ahmedabad,for violation of Know Your Customer (KYC) norms and operational instructions and distributing dividend without obtaining prior approval from RBI.The Reserve Bank of India had issued a show cause notice to the bank in response to which the bank submitted a written reply.After considering the facts of the case and the bank�s replies as also personal submission in the matter, the RBI came to the conclusion, that the violation was substantiated and warrantedimposition of the penalty, a RBI release said. (UNI)