CSB Bank Limited announced that the Reserve Bank of India (RBI) has imposed an aggregate monetary penalty of ₹63,60,000/- (Rupees Sixty-Three Lakh Sixty Thousand Only) on the Bank. This action follows a Speaking Order dated February 06, 2026. The penalty relates to non-compliance concerning the RBI guidelines governing BC arrangements and the levy of account maintenance charges. The impact on the Bank’s financials is quantifiable at the exact penalty amount.
Regulatory Penalty Notification
CSB Bank Limited has formally disclosed that it has been penalized by the Reserve Bank of India (RBI) for specific compliance failures. The notification confirms that the RBI issued a Speaking Order on February 06, 2026, which was subsequently received by the Bank on February 13, 2026.
Details of the Enforcement Action
The total monetary penalty imposed on the Bank amounts to ₹63,60,000/- (Rupees Sixty-Three Lakh Sixty Thousand Only). This penalty was levied under the relevant provisions of the Banking Regulation Act, 1949.
Grounds for the Penalty
The specific contravention cited by the regulatory authority pertains to non-compliance with the RBI guidelines and directions. These directions specifically relate to two key operational areas: the Business Correspondent (BC) arrangements maintained by the Bank and the levy of account maintenance charges applied to customer accounts.
Financial Impact Quantification
The quantifiable impact on the financial, operational, or other activities of the listed entity, in monetary terms, is stated to be precisely ₹63,60,000/- (Rupees Sixty-Three Lakh Sixty Thousand Only), corresponding exactly to the penalty amount.
Disclosure Compliance
The required disclosures regarding this regulatory action have been duly made by the Company Secretary, Sijo Varghese, in accordance with established reporting requirements for listed entities.
Source: BSE
