The Reserve Bank of India (RBI) has imposed penalties amounting to almost Rs3 crore on State Bank of India, Canara Bank, and City Union Bank for violation of regulatory norms.

Banking & Finance

The Reserve Bank of India (RBI) has imposed penalties amounting to almost Rs3 crore on State Bank of India, Canara Bank, and City Union Bank for violation of regulatory norms. The penalty of Rs2 crore has been imposed on the State Bank of India (SBI) for contravention of certain norms related to the Depositor Education Awareness Fund Scheme, 2014. A penalty of Rs66 lakh has been imposed on City Union Bank Limited for non-compliance with certain directions issued by the RBI on ‘Prudential Norms on Income Recognition, Asset Classification and Provisioning Pertaining to Advances — Divergence in NPA Accounts’ and Know Your Customer Directions. The Reserve Bank has also levied a penalty of Rs32.30 lakh on Canara Bank for non-compliance with certain directions. A penalty of Rs16 lakh has been imposed on Ocean Capital Market Ltd, Rourkela, Odisha, for non-compliance with certain provisions related to non-banking financial companies.


      The penalties are based on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the entities with their customers.

     

     

 

     


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