RBI imposes penalty on entities.
In all instances, the RBI says penalties are based mostly on deficiencies in regulatory compliance and are usually not meant to pronounce upon the validity of any transaction or settlement entered into by the entities with their prospects
The Reserve Bank of India (RBI) has imposed a Rs 72 lakh penalty on state-owned Punjab National Bank and a Rs 30 lakh high quality on non-public sector lender Federal Bank for non-compliance with sure regulatory norms, the central financial institution stated on Friday. Apart from this, the RBI has additionally imposed a Rs 13.38 lakh penalty on Kosamattam Finance Ltd for a similar motive.
The RBI has additionally imposed a penalty of Rs 10 lakh on Mercedes-Benz Financial Services India Private Ltd (previously often known as Daimler Financial Services India Private Ltd) for non-compliance with sure provisions of the Know Your Customer (KYC) Direction, 2016.
The penalty on Punjab National Bank has been imposed for non-compliance with sure provisions associated to ‘interest rate on advances’ and ‘customer service in banks’, the RBI stated in a press release.
Federal Bank has been penalised for contravention of sure provisions of KYC norms, the central financial institution stated in one other assertion.
The RBI additionally stated a financial penalty of Rs 13.38 lakh has been imposed on Kosamattam Finance Ltd, Kottayam, for non-compliance with sure provisions of the ‘Non-Banking Financial Company – Systemically Important Non-Deposit taking Company and Deposit taking Company (Reserve Bank) Directions, 2016’.
In all instances, the central financial institution stated penalties are based mostly on deficiencies in regulatory compliance and are usually not meant to pronounce upon the validity of any transaction or settlement entered into by the entities with their prospects.
