32 C
Mumbai
Sunday, June 16, 2024

RBI imposes penalty on 3 banks including SBI; Know why

On Monday, the RBI fined three state-owned banks, including SBI and Indian Bank, for violating regulations. A statement said RBI restrictions on “Loans and Advances – Statutory and Other Restrictions” and “Guidelines on Management of Intra-Group Transactions and Exposures” cost State Bank of India Rs 1.3 crore.

In a separate statement, the Reserve Bank of India fined Indian Bank Rs. 1.62 crore for violating “Loans and Advances – Statutory and Other Restrictions,” “Reserve Bank of India (Interest Rate on Deposits) Directions, 2016,” and “KYC.” Difficulties with the depositor education and awareness fund scheme cost Punjab & Sind Bank Rs 1 crore.

The RBI also fined Fedbank Financial Services Limited Rs. 8.80 lakh for violating NBFC fraud surveillance guidelines. However, the RBI clarified that banks and NBFCs’ fines are based on regulatory compliance issues and do not question their client transactions or agreements.

Conclusion:-

The RBI penalised three state-owned banks, including SBI and Indian Bank, for regulatory violations. State Bank of India was fined Rs 1.3 crore for violating “Loans and Advances – Statutory and Other Restrictions” and “Guidelines on Management of Intra-Group Transactions and Exposures.” Indian Bank received a Rs 1.62 crore penalties for violating “Loans and Advances – Statutory and Other Restrictions,” “Reserve Bank of India (Interest Rate on Deposits) Directions, 2016,” and “KYC.” Punjab & Sind Bank must pay Rs 1 crore for violating the depositor education and awareness fund plan. NBFC fraud surveillance violations cost Fedbank Financial Services Limited Rs 8.80 lakh.

Taushif Patel

Taushif Patel is a Author and Entrepreneur with 20 years of media industry experience. He is the co-founder of Target Media and publisher of INSPIRING LEADERS Magazine, Director of Times Applaud Pvt. Ltd.

Taushif Patelhttps://taushifpatel.com
Taushif Patel is a Author and Entrepreneur with 20 years of media industry experience. He is the co-founder of Target Media and publisher of INSPIRING LEADERS Magazine, Director of Times Applaud Pvt. Ltd.

Related Articles

Latest Articles