RBI Action: The Reserve Bank of India often takes strict action against banks for violating banking rules. RBI has imposed heavy penalty on three big banks. The list includes Axis Bank, Bank of Maharashtra and Jammu & Kashmir Bank. Let us tell you that a few days ago the Central Bank had imposed penalty on 3 cooperative banks.
2.5 crore fine on Jammu and Kashmir Bank
RBI has imposed a penalty of Rs 2 crore 50 lakh on Jammu and Kashmir Bank. The bank failed to ensure the integrity and quality of the data submitted to CRILC. Could not even follow some instructions related to the loan. Further, financial/non-financial messages sent in SWIFT are duly reflected in the CBS before ensuring the underlying transaction. Central has imposed the penalty only after responding to the show cause notice.
30 lakh fine on Axis Bank
The Reserve Bank has imposed a penalty of Rs 30 lakh on Axis Bank. As per the RBI report, the bank had levied penal charges on some accounts for late payment of credit card dues. However, the customers had paid the dues by the due date through third party platforms. Explain that Axis Bank was imposed a penalty last year for failing to comply with the instructions related to KYC.
Bank of Maharashtra fined Rs 1.45 crore
RBI has imposed a fine of Rs 1 crore 45 lakh on Bank of Maharashtra. The bank has failed to comply with the instructions issued on Man in the Middle (MITM) attacks in Loans & Advances and ATMs. The Reserve Bank of India has clarified that this action will not be on transactions done by customers.
