RBI Penalty: A heavy fine has been imposed by the Reserve Bank of India (RBI) on two banks of Mumbai and Ghaziabad.Â
This penalty has been imposed on behalf of the central bank due to lapse in following the rules. This action will not affect the customer service of the bank in any way.
RBI Penalty: Heavy fine has been imposed on two banks for not following the instructions from the Reserve Bank of India (RBI). One of these banks is from Mumbai and the other is from Ghaziabad. Mumbai-based Abhyudaya Co-Operative Bank has been fined Rs 58 lakh for default in implementation of several directions.
Why was the fine imposed?
The rules related to NPA were also ignored by the bank. After seeing all these things, a fine was imposed on Abhyudaya Co-operative Bank on behalf of the central bank. On the other hand, the Reserve Bank said in a separate statement that Noida Commercial Co-operative Bank based in Ghaziabad has also been fined one lakh for ignoring the rules of ‘Banking Regulation Act, 1949’. .
Customer related service will continue
It was told by the RBI that both the banks have been fined due to the laxity in regulatory rules. This action has nothing to do with banking service. In such a situation, all the facilities given by the bank to the customers will continue.
Earlier in the last week of April, RBI had imposed a penalty of 1.12 crore on Bank of Maharashtra keeping in mind the interests of the customers. This penalty was imposed on behalf of the Reserve Bank for default in complying with ‘Know Your Customer’ (KYC) and other instructions.
