<h1>Regulatory penalty imposed for breaches of income recognition, asset classification, KYC and issuance norms following inspection.</h1> A monetary penalty was imposed on Rajkot Nagarik Sahakari Bank Ltd. under statutory powers of the Banking Regulation Act for breaches including income recognition and asset classification deficiencies, non compliance with KYC norms, improper issuance of demand drafts/postal orders against cash, violation of a management conduct provision, and persistence of earlier inspection deficiencies after the bank responded to a show cause notice.