(*2*)RBI Imposes Penalty On Banks And 2 Other Entities
The penalty on PNB has been imposed for non-compliance with sure provisions associated to ‘rate of interest on advances’ and ’customer support in banks’
The Reserve Bank on Friday mentioned it has imposed a Rs 72 lakh penalty on state-owned Punjab National Bank and a Rs 30 lakh penalty on personal sector Federal Bank for non-compliance with sure regulatory norms.
It has additionally imposed a penalty of Rs 10 lakh on Mercedes-Benz Financial Services India Private Ltd (previously referred to 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 support in banks’, Reserve Bank of India (RBI) mentioned in a launch.
Federal Bank has been penalised for contravention of sure provisions of KYC norms, the central financial institution mentioned in one other launch.
The RBI additionally mentioned 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 mentioned penalties are primarily based on deficiencies in regulatory compliance and usually are not supposed to pronounce upon the validity of any transaction or settlement entered into by the entities with their clients.
(This story has not been edited by News18 workers and is printed from a syndicated information company feed – PTI)
