Reserve Bank of India has said that banks need to be vigilant regarding the fulfillment of Know Your Customer (KYC) norms by clients.It has said that atleast one of the officially valid documents like PAN card or a voter identity card should be provided by customer while opening a bank account.

Some banks have been found to be using only an identity certificate from employer as identity as well as address proof for opening bank accounts. This can be a risky affair as chances of fraud are on a rise.

RBI said that as per the Prevention of Money Laundering Rules Act, banks should seek for atleast one of the legal documentart proofs like passport, driving licence, PAN card, voter card, utility bills.

It said that any issue of non compliance to norms would attract penalties under Banking Regulation Act.