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      Question

      Why did the RBI impose a monetary penalty on The Magadh

      Central Co-operative Bank, Bihar?
      A For failing to meet the minimum capital adequacy ratio Correct Answer Incorrect Answer
      B For not maintaining proper customer service records Correct Answer Incorrect Answer
      C For non-compliance with KYC norms under the Banking Regulation Act, 1949 Correct Answer Incorrect Answer
      D For issuing loans without proper documentation Correct Answer Incorrect Answer
      E For failing to meet the priority sector lending targets Correct Answer Incorrect Answer

      Solution

      RBI imposed a penalty on The Magadh Central Co-operative Bank, Bihar, for non-compliance with KYC norms under the Banking Regulation Act, 1949.

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