FINAL ORER

06.08.2025

FPA-PMLA-3411/DLI/2020

By this appeal under Section 26(2) of the Prevention of Money Laundering Act, 2002 (in short `the Act of 2002’), a challenge has been made to the order dated 03.12.2019 where a penalty of Rs.7,40,000/- has been imposed on the appellant Nagrik Sahkari Bank Ltd. (hereinafter referred to as `appellant bank’). The penalty of Rs.5,40,000/- was imposed for violation of Section 12 of the Act of 2002 read with Rule 3(1)(C) and Rule 8(1) of the Prevention of Money Laundering (Maintenance of Records) Rules, 2005 (in short `Rules of 2005’). It is for the failure of the appellant bank to make report of 54 Forged Indian Currency Notes (FICNs)/Counterfeit Currency Reports (CCRs) admitted by the appellant bank. The report was required to be made by 15th day of succeeding month.

2. The other penalty of Rs.2,00,000/- was imposed in reference to Section 12A of the Act of 2002 for non-furnishing of the information called in reference to the Circular/Notification issued by the RBI.

3. The learned counsel for the appellant submitted that the penalty of Rs.5,40,000/- has been imposed in ignorance of Section 12 of the Act of 2002 read with the Rules of 2005. The pe