Notice: Function is_search was called incorrectly. Conditional query tags do not work before the query is run. Before then, they always return false. Please see Debugging in WordPress for more information. (This message was added in version 3.1.0.) in /var/www/staging/nav_timebull/wp-includes/functions.php on line 6131

Notice: Function is_404 was called incorrectly. Conditional query tags do not work before the query is run. Before then, they always return false. Please see Debugging in WordPress for more information. (This message was added in version 3.1.0.) in /var/www/staging/nav_timebull/wp-includes/functions.php on line 6131
Rs 59.20 lakh penalty! RBI has taken a strict decision against a reputed bank – Times Bull

Rs 59.20 lakh penalty! RBI has taken a strict decision against a reputed bank

by

RBI took step against South Indian Bank: The Reserve Bank of India (RBI) has imposed a penalty of Rs. 59.20 lakh on South Indian Bank for deficiencies in regulatory and legal compliance. RBI has imposed this penalty on South Indian Bank for not following the interest rates and customer service instructions on deposits.

Why RBI took action against South Indian Bank?

The Reserve Bank of India (RBI) has imposed a penalty of Rs 59.20 lakh on South Indian Bank for failure in compliance with the interest rate on deposits and certain instructions on customer services in banks. The bank has given this information. A test was conducted by the Reserve Bank of India for the bank’s audit value regarding the bank’s financial position as on March 31, 2023. Based on RBI directions and non-compliance with the relevant correspondence, a notice was issued to South Indian Bank Ltd.

RBI took decision after bank’s reply and the verbal presentation

After considering the bank’s reply to the notice, which was sent by the Reserve Bank of India and the verbal presentation made during the personal hearing, the RBI found that the allegations against the bank are true, for which monetary penalty or monetary penalty is imposed.

Penalties and charges without informing some customers

The RBI said that South Indian Bank had imposed penalties and charges for not maintaining the minimum balance/average minimum balance amount without informing some customers through SMS or e-mail or letter. Against this, the RBI has taken this action against the bank. RBI said that this penalty is based on deficiencies in statutory and regulatory compliance. It is not intended to affect the validity of any transaction or agreement entered into by the bank with its customers.

Share.