**Executive Summary**
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹40,000 on Matoshri Mahila Sahakari Bank Limited, Parner, Maharashtra, due to non-compliance with certain KYC (Know Your Customer) directions. The order was issued on February 13, 2026, and the press release is dated February 16, 2026.
**Key Points / Main Content**
* **Monetary Penalty:**
* RBI imposed a penalty of ₹40,000 on Matoshri Mahila Sahakari Bank Limited.
* The penalty is for non-compliance with KYC directions issued by RBI.
* **RBI Authority:**
* The penalty was imposed under Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
* **Basis for Penalty:**
* The statutory inspection of the bank was conducted with reference to its financial position as on March 31, 2025.
* The penalty was based on supervisory findings of non-compliance with RBI directions.
* The bank failed to implement a system for periodic review of risk categorization of accounts, to be conducted at least once every six months.
* **Clarification:**
* The action is based on deficiencies in regulatory compliance.
* The penalty is not intended to pronounce upon the validity of transactions between the bank and its customers.
* The penalty does not prejudice any other action that RBI may initiate against the bank.
**Impact Analysis**
**Matoshri Mahila Sahakari Bank Limited, Parner, Maharashtra**
* **Impact**
* The bank is financially penalised by ₹40,000.
* The bank's regulatory compliance is under scrutiny and has been found deficient.
* **Action Required**
* The bank needs to rectify the deficiencies in regulatory compliance.
* The bank should implement a system for periodic review of risk categorization of accounts, with a periodicity of at least once every six months.
Key Entities Referenced
Reserve Bank of India (RBI): Imposed a monetary penalty for non-compliance with KYC directions.
Banking Regulation Act, 1949: The law under which the penalty was imposed.
Matoshri Mahila Sahakari Bank Limited, Parner, Maharashtra: The bank on which monetary penalty was imposed.
Know Your Customer (KYC): Directions issued by RBI for which the bank was penalised for non-compliance
Section 47A(1)(c) read with Sections 46(4)(i) and 56: Sections of the Banking Regulation Act under which the penalty was imposed.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
:
www.rbi.org.in/hindi
संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
February 16, 2026
RBI imposes monetary penalty on Matoshri Mahila Sahakari Bank Limited,
Parner, Maharashtra
The Reserve Bank of India (RBI) has, by an order dated February 13, 2026,
imposed a monetary penalty of ₹40,000/- (Rupees Forty Thousand only) on Matoshri
Mahila Sahakari Bank Limited, Parner, Maharashtra (the bank), for non-compliance
with certain directions issued by RBI on ‘Know Your Customer (KYC)’. This penalty
has been imposed in exercise of powers conferred on RBI under the provisions of
Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act,
1949.
The statutory inspection of the bank was conducted by RBI with reference to its
financial position as on March 31, 2025. Based on supervisory findings of non-
compliance with RBI directions and related correspondence in that regard, a notice
was issued to the bank advising it to show cause as to why penalty should not be
imposed on it for its failure to comply with the said directions. After considering the
bank’s reply to the notice and oral submissions made during the personal hearing, RBI
found, inter alia, that the following charge against the bank was sustained, warranting
imposition of monetary penalty:
The bank had failed to put in place a system of periodic review of risk categorisation
of accounts, with such periodicity being at least once in six months.
This action is based on deficiencies in regulatory compliance and is not intended to
pronounce upon the validity of any transaction or agreement entered into by the bank
with its customers. Further, imposition of monetary penalty is without prejudice to any
other action that may be initiated by RBI against the bank.
(Brij Raj)
Press Release: 2025-2026/2123 Chief General Manager