RBI imposes monetary penalty on SBI, Punjab & Sind Bank and Indian Bank
Mumbai, Sep 25, 2023
The Reserve Bank of India (RBI) on Monday imposed a monetary penalty on the State Bank of India (SBI), Punjab & Sind Bank, and Indian Bank owing to non-compliance with certain regulations.
As per the RBI circular, SBI is penalised with Rs 1.30 crore due to lack of compliance with directions on 'Loans and Advances – Statutory and Other Restrictions' and 'Guidelines on Management of Intra-Group Transactions and Exposures'.
Meanwhile, Indian Bank is charged with Rs 1.62 crore for non-compliance with 'Loans and Advances – Statutory and Other Restrictions', along with 'Reserve Bank of India [Know Your Customer (KYC)] Directions, 2016' and 'Reserve Bank of India (Interest Rate on Deposits) Directions, 2016'.
Punjab & Sind Bank has to pay a fine of Rs 1 crore for failing to comply with regulations on 'The Depositor Education and Awareness Fund Scheme, 2014–Section 26A of Banking Regulation Act, 1949–Operational Guidelines'.
[The Business Standard]