A fine of Rs5.00lacs (Rupee five lakh only), was imposed on Shri Vinayak Sahakari Bank Ltd., Ahmedabad, by Reserve Bank of India, as Shri Vinayak Sahakari Bank Ltd., Ahmedabad
a) for violation of RBI instructions/directions relating to operational instructions,
b) for destruction of records of banking transactions,
c) for non production of books of account before the Inspecting Officer
d) for non-filing of STRs.
The fine was imposed by RBI under the powers vested in it in Section 47 A (1)(b) read with Section 46(4) of the Banking Regulation Act, 1949 (AACS).
In the recent past, I do not remember reading any Bank has destroyed records of banking transactions. May be the time has come for Bank Records to be archived with a 3rd party, with only Regulators having access to them as and when required.