RBI Fines 14 Banks for Contravention of Norms

The Reserve Bank of India on Wednesday penalized 14 banks including State Bank of India, Bank of Baroda, IndusInd Bank and Bandhan Bank. Lender were find for noncompliance with certain provisions of directions issued by the regulator on lending to nonbank lenders, restrictions and provisions on loans and advances and reporting to the central data base on large exposures.

While Bank of Baroda was levied a penalty of Rs. 2 crores, IndusInd Bank, Bandhan Bank, Credit Suisse AG, Central Bank of India, Bank of Maharashtra, Indian Bank, Utkarsh Small Finance Bank were asked to cough up Rs. 1 crore as fine. A penalty of Rs. 5 lakhs were imposed on State Bank of India.

RBI said a scrutiny was carried out and it was observed that the bank had failed to comply with provisions of the Banking Regulation Act. Notices were issued to the bank advising them to show cause as to why penalty should not be imposed for non-compliance. After examining the responses, the warranted imposition of monetary penalty on these bank. S-ET

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *