**Executive Summary**
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹50,000 on The Guntur Women Co-operative Urban Bank Limited for non-compliance with 'Know Your Customer' (KYC) directions. This penalty, effective February 23, 2026, stems from the bank's failure to upload customer KYC records onto the Central KYC Records Registry (CKYCR) by March 31, 2025.
**Key Points / Main Content**
* **Penalty Imposed:** The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹50,000 on The Guntur Women Co-operative Urban Bank Limited.
* **Reason for Penalty:** The penalty was imposed for non-compliance with directions issued by RBI concerning 'Know Your Customer' (KYC) norms.
* **Specific Violation:** The bank failed to upload the KYC records of its customers onto the Central KYC Records Registry (CKYCR).
* **Legal Basis:** The penalty was levied under the powers conferred on the RBI by Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act.
* **Inspection Basis:** The penalty is based on supervisory findings from a statutory inspection of the bank concerning its financial position as of March 31, 2025.
* **Procedural Fairness:** The bank was issued a show-cause notice and given an opportunity for a personal hearing before the penalty was imposed.
* **Scope of Action:** This action pertains to regulatory compliance deficiencies and does not affect the validity of any transactions or agreements made by the bank with its customers. It is also without prejudice to any other action RBI may initiate.
**Impact Analysis**
**The Guntur Women Co-operative Urban Bank Limited**
* **Impact:** The bank has been fined ₹50,000 for failing to comply with regulatory directions related to KYC record uploading.
* **Action Required:** The bank must ensure timely and complete uploading of customer KYC records to the Central KYC Records Registry (CKYCR) to avoid future penalties and comply with RBI directives.
Key Entities Referenced
Banking Regulation Act: The primary law under which the penalty was imposed, specifically referencing Sections 47A(1)(c), 46(4)(i), and 56.
Reserve Bank of India (RBI): The regulatory body that imposed the penalty and issued the directions for compliance.
The Guntur Women Co-operative Urban Bank Limited, Andhra Pradesh: The specific entity on which the monetary penalty was imposed for non-compliance.
Know Your Customer (KYC): The set of directions issued by the RBI that the bank failed to comply with, leading to the penalty.
Central KYC Records Registry (CKYCR): The system where the bank failed to upload customer KYC records, constituting the specific violation.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व ब ैंक
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 26, 2026
RBI imposes monetary penalty on The Guntur Women Co-operative Urban
Bank Limited, Andhra Pradesh
The Reserve Bank of India (RBI) has, by an order dated February 23, 2026,
imposed a monetary penalty of ₹50,000/- (Rupees Fifty Thousand only) on The Guntur
Women Co-operative Urban Bank Limited, Andhra Pradesh (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.
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 upload the KYC records of customers onto Central KYC
Records Registry (CKYCR).
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 this monetary penalty is without
prejudice to any other action that may be initiated by RBI against the bank.
(Brij Raj)
Press Release: 2025-2026/2177 Chief General Manager