Reserve Bank of India (RBI) has imposed a penalty of Rs 1.12 crore on Bank of Maharashtra for non-compliance with sure instructions, together with these associated to Know Your Customer (KYC) norms.
The penalty has been imposed for violation provisions associated to KYC, creation of a Central Repository of Large Common Exposures – Across Banks, and tips on managing dangers and code of conduct in outsourcing of economic companies by banks.
The Statutory Inspection for Supervisory Evaluation (ISE) of the general public sector financial institution was performed as regards to its monetary place as on March 31, 2020, it mentioned in a launch on Monday.
Also, scrutinies have been performed within the matter of non-credit of customs responsibility to the federal government account by the financial institution, it added.
In one other launch, RBI mentioned it has imposed a penalty of Rs 12 lakh on Rajkot Nagarik Sahakari Bank, Rajkot for non-compliance with the path on Interest Rate on Deposits’.
Separately, the central financial institution has imposed a penalty of Rs 25 lakh on The Haryana State Co-operative Apex Bank, Chandigarh for contraventions with RBI instructions on housing finance.
According to the releases, the penalties are primarily based on the deficiencies in regulatory compliance and isn’t meant to pronounce upon the validity of any transaction or settlement entered into by the banks with their prospects.
Source: www.financialexpress.com”